U.S. gas: So cheap it hurts
Some experts say that U.S. drivers have become accustomed to cheap gas, and larger cars and longer commutes have left them more exposed to price spikes. What do you think of U.S. gas prices? Do you think Americans could benefit from higher gas taxes as some European countries have? Do you favor lower gas taxes?
I apologize for calling them peasants. Maybe I should have called them “Nohopeians” perhaps it would make it easier for the smarmy European left wing elitist pallet to taste. . I was referring to those in a group big enough to almost set Paris on fire. I’ll bet one of them has enough upward mobility in life to run for prime minister of France one day! The Italians are really making those Roma feel welcome. Lighting the way with torches and such……No, they don’t travel. They don’t work. They don’t have opportunity. They don’t have upward mobility. But since everything is paid for and have a place to live and food to eat I’ll bet they are considered middle class. My ancestors already fought that war in the Union Army over 100 years ago. And another came home from Europe w/o a leg 60 years after that. Europe will be fighting it in 10 years if they don’t recognize that lack of hope and opportunity. My ancestors left the old world with good reason in 1760 and I believe a lot of that reason still goes on. Here in USA, we have a tendency to see you ALL as “monsters”. “Cliché” as the old Hitchcock used to say! By the way congratulations on 60+ years without another huge major war.
Could someone tell me who will invest the billions to bring gas to market when the payoff will be ripped off by the pandering politico opportunist of the day? The return on investment of oil is about 7%. Yes thats a fact!
So before you cry and complain check out the facts. By the way my 401K is doing fine because it is finally getting some return on its oil investment. Thanks.
“Europeans don’t need to drive as much as we do” (Who told you to live so far from where you work??)
“The US is so much bigger than the European countries” (So? Do you need to drive from CT to OR, or FL to MT, or even Dallas to Houston? It’s not about size, it’s about scale)
“We need to ship fresh produce across the country in trucks” (Ever hear of trains? Ever hear of locally produced produce?)
“The closest bus stop is 1 mile from my house” (So move!)
“We just don’t have a good public transit system in this country” (1. Read your US history and see what we used to have. 2. We just didn’t have the interstate highway system 60 years ago, but that didn’t stop us from building it)
“Higher gas prices is SOCIALIST talk.” (You wouldn’t take a life preserver from a Socialist if he threw it to you when you were drowning, would you?)
“What do we care what the rest of the world is doing?” (DUH!!! How old are you??)
What a bunch of pathetic excuses!!!
US Public transit is a result of cheap fuel. Given till recently it was cheaper and faster to simply drive your own car even if it got poor milege.
The general public/consumer in the US tends to be the most uninformed when it comes to shopping for the the right car. US Auto marketing has pretty much brain washed people into thinking they need a V8 6000lb SUV to drive on snow plowed roads. That they need a vehicle capable of towing 10,000lbs to tow their 1500lb jet ski.
Easy loans – low interest rates live by credit mentality enables people to purchase way more vehicle than they will ever need. As a result you have people driving full sized Trucks and SUV’s 90+% of the time as basic point A to Point B transportation with one or two people riding in them.
Not to mention there are more and more people that base their weekend entertainment on fuel driven vehicles.
Yes gas is cheap here in the US – its been way to cheap for way to long. As a result our public transportation stinks – people live way to far from work – Auto makers in the US have not been able to sell better designed more fuel efficient cars so they sell us the highest profit margin vehicles with poor milege standards. The Toyota Prius is such a big deal in the US but no where else! Why? Because it really doesn’t offer a good value in other countries where they have had very fuel efficient cars more efficient than the Prius for many years already.
Simply put the US Auto buyer is just plain dumb and alot of it can be blamed on the cheap fuel costs that enabled people to justify living 2hrs from work and purchasing way more vehicle than they ever needed.
Time to wake up! Buy fuel efficient cars – live closer to work and think a little more about what your doing when it comes to fuel consumption.
To claim US gas prices are cheap by comparison with European gas prices is totally out of context. About 83% of the gas price in Germany is Taxes. 60% of these taxes are environmental taxes. 90% of the environmental tax are utilized to fund social security.
The only “cheap” thing about US fuel is the stuff like 87 and 89 octane that’s called gas here in this country. You can’t find this in Europe anymore, the lowest grade there is 91 octane.
Last but not least any currency conversion is irrelevant. If someone makes $ 3000/Month in the US that compares to someone making EUR 3000 in Germany or Austria. So them paying EUR 1.51 per liter 95 octane gas is not so far away from a US guy paying about $ 1.20 per liter for 93 octane gas. So please stop making a case that we can be squeezed more at the pump. One last 5 cents worth: stop that Ethanol blunder and start investing in a liquid Natural Gas infrastructure for Cars and Trucks. Until then impose 55 mph on higways so that responsible people can slow down, save gas, arrive not much later than typically, but without being harrased by tailgaters on the right lane who have no idea what they are doing to themselves and others around them.
What a bunch of crap. Are we to compare productivity of the US to the other countries in the chart? Some pinheads wont be happy unless we choke our economy to the breaking point with unjustified energy costs!
But in most of these other countries, they have free or much cheaper medical costs. If I didn’t have to pay over $15,000 per year for medical insurance and copays for drugs, I could afford $6 per galon for gas.
1. Take a drive on I-95 in New England (if you’re brave/foolhardy enough)and you’ll be wondering (as I do) where the people flying-along in their SUVs at 80+ afford to fill up.
2. It wouldn’t be so difficult if it weren’t for the tax incentives (remember those?) given to the oil companies.
3. Remember when all those mega-schools were built making it necessary to transport EVERYONE in it? Where do you see your school taxes going? Record oil company profits.
We need this kick in the butt – AKA – high gas prices — to help us get off our fat bottoms and come up with alternatives to our complacent and self-indulging lifestyles.
Walking, biking, mass transit, etc.
As an European, I always enjoy reading discussions in US forums talking about the way of life in other places of the world.
On this oil price debate, I actually thought that many arguments brought are interesting, and I admit I may even have some sympathy for the people who say “it is different here in the US”. However, you often say this when you don’t want to face reality…
I was suprised, but in a positive sense, to see that apparently many american citizens are waking up to the fact that maybe the way they are living and consuming should evolve. Here in Europe, we have a tendency to see you ALL as “monster” oil consumers. “Cliché” as the old Hitchcock used to say!
Talking about prejudice, but the other way round, I really laughed out loud at some comments on Europe:
* “they have a lot of peasants”
* “they have 15-20% unemployment”
* “they live in an hills”
* etc.
For those who made those comments: well done! But maybe, from time to time, you would need to travel the world (not only Europe) a bit?! This was true sometime ago. But the world has changed, is changing quickly, and you may no longer have the superior standard of living you enjoyed in the 50s and the 60s. Again, facing reality…
So tell us CNN, how much did your news organization get paid for running this line of BS by the American public.
Sure reads like one of those sympathetic payoffs to me.
Seriously, drive slower and drive something smaller, and complain less. Did you need that SUV? That truck? Could you have purchased something smaller? A car? Did it have to be V6 or V8? Did it have to have electrical this or that? DVD screens, entertainment centers?
Short answer is “no, it did not”. The main cause of the current gas crisis is our own gluttony.
It seems as though gas keeps going up even when the price of oil keeps going up. The big oil companies hike the price of gas when they hear the price for a barrel of oil goes up. WHY!!!! They haven’t even taken delivery on a barrel of that oil, so why are they taking advantage of this news when they don’t have a barrel of the newly priced oil. The general public is tired of the big oil companies making HUGE profits and are failing to show any concern. Meaning THEY DON’T CARE AS LONG AS THEIR POCKETS ARE LINED WITH OUR BLOOD, SWEAT, AND TEARS.
Demand $2 a Gallon Gas
Oil was $120 a barrel on May 5, 2008.
The cost of a barrel of synthetic fuel from coal is estimated to be $55, including the infrastructure and labor force necessary to operate plants.
Germany fueled WWII with synfuel from coal. It is proven technology.
America has 1/3rd of the coal on Earth and can eliminate dependence on foreign oil.
Reducing America’s trade imbalance keeps money and jobs here in America.
Every billion in trade deficit costs 13,000 American jobs. $400 billion for oil last year: you do the math.
And we can stop sending billions to countries that sponsor terrorism.
Synfuels are cleaner burning than gasoline and carbon sequestration can remove CO2.
Visit http://governor.mt.gov/hottopics/faqsynthetic.asp
Harness your anger at the pump. Call you’re US Senators and demand they break ground on America’s energy independence by encouraging an American synfuel industry in this decade.
If you don’t raise your voice the oil companies, lobbyist and politicians will assume you are fat, dumb and happy and ready to pay even more.
HOW AMERICA BECAME FOREIGN OIL DEPENDENT & WHY IT STAYS THAT WAY
Perhaps the legitimate desire to preserve water front property plays a role in stopping the development of new refineries and oil exploration. But international agreements and foreign tax credits have much more to do with it:
The United States agreed to transfer jobs and technology to developing countries under
INTERNATIONAL AGREEMENT
Algiers Declaration
Algiers, Algeria, 4-6 March 1975
In this context, they emphasize the necessity for the full implementation of the Programme of Action adopted by the United Nations General Assembly at its VI Special Session, and accordingly they emphasize the following requirements [excerpt from full declaration]
“With regard to the depletable natural resources, as OPEC’s petroleum resources are, it is essential that the transfer of technology must be commensurate in speed and volume with the rate of their depletion, which is being accelerated for the benefit and growth of the economies of the developed countries”
A major portion of the planned or new petrochemical complexes, oil refineries and fertilizer plants be built in the territories of OPEC Member Countries with the co-operation of industrialized nations for export purposes to the developed countries with guaranteed access for such products to the markets of these countries. [Excerpt from declaration] Read sections 10 and 11]
FOREIGN TAX CREDITS
In 1977 Representative Benjamin Rosenthal of New York produced secret Internal Revenue Service documents going back to 1950. They showed that the tax laws of Saudi Arabia were drafted with the help of Aramco to call the added price of oil not a “royalty” or “cost of doing business,” as was proper, but an income tax.” The Saudis did this knowing that income tax paid to a foreign country is deductible from the income taxes an oil company pays the United States on all income received in the United States by the parent firm. From Pgs. 61-64 The Media Monopoly by Ben H. Bagdikian 5th edition paperback color emphasis added
“This plan was approved in secret session of the National Security Council and carried out without any request for authorization by Congress. A quarter of a century later, when members of the Senate Foreign Relations Committee un-earthed details, the source of the king’s added income had become too self-evident for comment.” From pgs. 193-196 Oil Power The Rise and Fall of An American Empire by Carl Solberg 1976 paperback
“Essential to the deal was a renegotiation of Aramco’s royalties, most of which were now called taxes. These were increased to a level equal to half the company’s expected profits for the year. The amount of the rise just happened to equal the income taxes the company had been paying to the U.S. Treasury. Thus, by a transfer to the Saudis of a sum that would henceforth have to be made up to the U.S. government by its taxpayers, the 12. progressive fitly-fifty profit-split plan was introduced to the Eastern Hemisphere, and the lord of the world’s richest oil pools was bound over to the United States as never before: the Saudi monarchy became outspoken in its anticommunism.” From pgs. 193-196 Oil Power The Rise and Fall of An American Empire by Carl Solberg 1976 paperback
“This practice, perfected in Saudi Arabia, was quickly adopted elsewhere. Eventually, every oil-producing nation where American companies had a concession enacted an income tax law to increase its oil revenue by tapping the foreign tax credit provision of the U.S. Internal Revenue Code.” From pgs. 183-190 America: Who Really Pays The Taxes by Donald L.Barlett & James B. Steele paperback
“Since that time the major multinational U.S. oil companies have paid hardly a penny of U.S. income tax on their foreign income.” page130 BANKS. BORROWERS, AND THE ESTABLISHMENT
Excepts from Aramco’s Stormy Petrol
Monday, Dec. 24, 1979
http://www.time.com/time/magazine/article/0,9171,947130-1,00.html
In their middleman role, Aramco’s American chiefs plainly have divided loyalties. From Chairman John J. Kelberer, a career-long Aramco engineering manager, on down, executives remain determined to do nothing that would anger their Saudi hosts or jeopardize the company’s concession. During the 1973-74 Arab oil embargo, Aramco’s executives not only did as they were told by the Saudi government, but cut back production by more than requested just to show that they were good Saudi corporate citizens.
SO CONSUMERS WILL ULTIMATELY PAY MORE
REFINERIES IN AMERICA OPERATING AT 85% CAPACITY
Excerpts from Senator Dick Durbin of Illinois floor statement http://durbin.senate.gov/showRelease.cfm?releaseId=296989 below:
That is fact. The oil companies say: Well, the problem is we do not have enough refineries. If we had more, then we would have more product and we might have a smaller spread and we would not be. Let me tell you what: Today, the refineries in America are operating at 85 percent of capacity. Do not buy this argument that it is about refineries. They have more capacity. They are holding back so they can keep their product dear and limited and short, and so the consumers will ultimately pay more.
This morning, British Petroleum, BP, announced they made $7.6 billion in profits in the first quarter of 2008. Royal Dutch Shell announced $9.08 billion in the first quarter. We are still waiting for ExxonMobil.
Understand, these are not the biggest profits in the history of the oil industry, these are the largest profits in the history of American business, some say in the history of all business throughout mankind; the largest profit taking ever. At whose expense? At the expense of consumers and families, small businesses, truckers, airlines, and our economy.
GLOBAL WARMING
The Green Phantom
Global warming’s curious absence as a campaign issue.
http://www.newsweek.com/id/133652
In the summer of 2006 I went to see Congressman Rahm Emanuel, who was running the Democrats’ successful effort to regain control of the House of Representatives. I had been reading a great deal about global warming in the mainstream press (”Be Afraid, Be Very Afraid” warned Time). So I asked Emanuel, how are the environment and global warming playing out there in the heartland? Is it stirring voters? No, he replied. In the 2006 congressional elections global warming was virtually a nonissue, he said, a low-priority item way behind the war and the economy and old staples like education and health care. Global warming is an issue for the elites, he said, not for the average voter.
SO Who Benefits from the Global Warming Advertisement Campaigns that discourage exploration for oil in Alaska & the Gulf of Mexico and new coal fired power plants?
By Michael Lewis
• 3rd world countries who are the beneficiaries of a transfer of wealth and technology from America.
• The bottom lines of International Oil Companies that use foreign tax credits to avoid paying taxes in the US and show loyalty to no nation state.
Or
• American taxpayers
Pennsylvania Governor and Former CIA Director Warn Foreign Oil Is a Threat to America’s Economy
Friday, September 14, 2007
http://www.foodandfuelamerica.com/2007/09/pennsylvania-governor-and-former-cia.html
Pennsylvania Governor Edward Rendell and former director of the CIA James Woolsey this week called America’s growing dependence on foreign oil one of the greatest threats to the nation’s security and economy.
According to the governor during a press conference:
“As a nation, we import more than 60 percent of our liquid fuel supplies. That kind of dependence on foreign oil leaves us exposed to political upheaval or hostile agendas from elsewhere in the world. “It is intolerable that our economy and way of life are so much at the mercy of foreign nations. We need to act now and spur the development of biofuels here at home. Instead of Pennsylvanians sending $30 billion each year overseas to buy gas and fuels, we can invest that money here and support our farmers who grow the crops that produce ethanol and biodiesel, the new manufacturers that refine the oils and the trucking and rail industries that ship it.”
I have been reading some of the articles written by the american consumers and most of them make sense.
Chris from Atlanta posted May 11th said that the us government will not do anything for us. I agree look at how we have been sold out by our government & big corporations with N.A.F.T.A big corps. who move there operations out of our country for cheaper labor rates, such as Hershey chocolate factory,Levi Strauss jeans,etc… moving to Mexico,that is a big part of why this economy is so bad,all of those people who have lost there good paying jobs how are they to afford to pay for energy,food,etc… just living day 2 day.
Darlene Brown from Ellenboro, NC posted May 9th.
First of all amen to you the democrats have hurt us in not giving the premission to drill for oil or natural gas, I belive this as well. President Bush is taking a beating by the american people,but has tried to drill for oil and has been rejected by congress,he has also wanted to build refineries but can’t. WAKE UP WITH THE ECONOMY AND THE JOBS WE HAVE LOST TO COUNTRIES OTHER THAN OURS this could and would help out the USA you need people to build them & then once they are built you need people to work them,thus putting $$$ back into our economy & help reduce the price of gas it is a win-win for everybody I think.
It just upsets me that congress can stick there nose into places it doesn’t belong,such as major league baseball & the nfl like we needed to waste all that money (our money tax dollars) to see if somebody has used prefomance enhancing drugs or if the Patriots spied on other teams. I think not it is your (congress)job to serve us the AMERICAN PEOPLE.
Gas IS CHEAP! Just read the article. The US has one of the cheapest gas prices in the industrialized world. Only at $8 per gallon, would we begin to pay what the English and French pay. But, you want a comprehensive national energy policy? How’s this: 1) First, stop blaming the oil companies. Their execs are greedy, but so are you if you think you deserve cheap gas simply because it has “always been that way.” We, Americans, do not have a divine right to cheap gas. 2) Build subway/metro/light rail systems like those found in London and Paris. They’re awesome — cheap, reliable, convenient — and fun to use. 3) Build a high-speed rail system. The British, French and Japanese have these bullet trains. I used the high-speed French TGV rail system two summers ago — it was cheap, reliable, convenient, and fun to use. 4) Drive a fuel-efficient car. Dump your single-passenger Chevy Suburban and replace it with a Toyota Yaris. At something like 33 mpg in the city and 40 mpg on highways, it is cheap, reliable, convenient, and fun to use. 5) Walk, run, or bike instead of driving. I ride a bicycle 14-miles (round trip) 4 days per week in Los Angeles, the car capital of the world. A bicycle is cheap, reliable, convenient, and fun to use. (Get the picture yet?) Furthermore, bicycles do not emit greenhouse gasses or contribute to Global Warming. And, cycling will improve your health. You will save a lot of money on your medical and prescription drug costs. You will feel so much healthier, happier, and less stressed. You can do it. I know you can because I rode 3300 miles across America from Seattle to Washington D.C. last summer. And, most importantly 6) Go out and do it. Stop complaining and do it. If not, then I really hope gas hits $8. I prefer riding my road bike when there are fewer cars on the road. And, I own a lot of oil stocks ….
At 54 years old, I have seen most of the major changes that the oil industry has gone through in the last 4 decades. Fresh out of high school in 1971, gas prices were around 29 cents a gallon and the prices only varied by a few cents either way for the previous decades before that. Then all of a sudden in the early 70’s there was a world wide shortage on oil and the price of gas tripled in less than 6 months. The price of oil has continued to rise ever since then with no end in sight.
For what ever reasons the big oil companies give us for the rise in fuel prices today, the simple fact remains that what ever their costs are for crude oil, production, research, and operating costs, they are making windfall profits that are out of this world. And even with billions in profit coming in, they continue to receive huge tax breaks from the federal government, which by the way really increases their profits from the savings in taxes that they do not have to pay out.
If one major oil company is making somewhere around $90 billion in profit a year, here’s how it breaks down…
Profit per day = $246,575,342.47
Profit per hour = $10,273,972.60
Profit per minute = $171,232.88
Now I ask you, do they really need a tax break? Couldn’t this be considered price gouging? Haven’t the big exec’s taken into consideration what the price of oil is doing to the economy? Or do they simply not care?
I would have to say that the price of oil effects not only every American, but every kind of business in America today which again reflects back on the American public for it is they who ultimately carry the cost and pay the tab while the fat cats get even fatter.
Lets not be fooled here, it’s not the price of crude that drives the price up, it’s not the cost of refining that drives the price up, simply put, it’s greed.
At 54 years old, I have seen most of the major changes that the oil industry has gone through in the last 4 decades. Fresh out of high school in 1971, gas prices were around 29 cents a gallon and the prices only varied by a few cents either way for the previous decades before that. Then all of a sudden in the early 70’s there was a world wide shortage on oil and the price of gas tripled in less than 6 months. The price of oil has continued to rise ever since then with no end in sight.
For what ever reasons the big oil companies give us for the rise in fuel prices today, the simple fact remains that what ever their costs are for crude oil, production, research, and operating costs, they are making windfall profits that are out of this world. And even with billions in profit coming in, they continue to receive huge tax breaks from the federal government, which by the way really increases their profits from the savings in taxes that they do not have to pay out.
If one major oil company is making somewhere around $90 billion in profit a year, here’s how it breaks down…
Profit per day = $246,575,342.47
Profit per hour = $10,273,972.60
Profit per minute = $171,232.88
Now I ask you, do they really need a tax break? Couldn’t this be considered price gouging? Haven’t the big exec’s taken into consideration what the price of oil is doing to the economy? Or do they simply just not care?
I would have to say that the price of oil effects not only every American, but every kind of business in America today which again reflects back on the American public for it is they who ultimately carry the cost and pay the tab while the fat cats get even fatter.
Lets not be fooled here, it’s not the price of crude that drives the price up, it’s not the cost of refining that drives the price up, simply put, it’s greed.
I think a lot of you guys are missing the bigger picture about energy prices and the American economy. It’s not just about an individual driving a more efficient car and living closer to work. It’s not about the fact that Europeans have historically paid about as much per liter as we do per gallon.
What it IS about is this:
1) The American economy has, for over a century, relied on cheap transportation costs to import and export goods. Over the last century, That has also translated into cheap transportation costs to move goods from one end of the country to another.
2) America is a BIG country. In terms of area, we’re the third largest country in the world. In terms of population, we’re also the third largest in the world.
So what does this mean? We have more goods to transport over a larger area than just about anyone else in the world. Our economy today is based on transporting goods imported from the Far East into the West Coast across country to the East Coast. Obviously, higher fuel prices make that trip more expensive…and it translates into higher prices for every thing you might need or want to buy.
I’ve lived in Europe, and marveled at the European rail system like everyone else. The thing you have to remember, though…Europe is very small comparatively. I’ve driven through four countries in one day…try that in the States and you wouldn’t make it through a third of the nation.
It’s ludicrous to think that, at today’s labor prices, we could emulate the European rail system across the vast expanse of America. Who would fund tens of thousands of miles of rail? Even if we did…trains need fuel too. Diesel fuel. Or electric fuel, powered by coal.
And how long would it take to build such a system? Here in Atlanta, where I commute about 100 miles a day, it would realistically take about 15 years to build a mass transit system that would get me from home to office (and for those of you who say “move closer”…I ask you ‘how’, when I can’t sell my home, can’t afford the area where my job is, nor is there any meaningful work where I live…please answer that!).
Let’s face it…we’re stuck in a really bad place now, and unless the US Government does something to ease prices, be it through economic leveraging, price regulation, or something creative, our economy is going to get a LOT worse before it gets better. I just wish more politicians and pundits would stop talking around the subject and start seeing at least the basic picture.
It really is time for a comprehensive approach to energy for our country. A strategy that includes alternative transport opportunities. It’s also time to “follow the money” to determine the true cause of high pump prices…could it be greedy oil companies? could it be oil futures investors? how do you cap that?
I agree that gasoline taxes can be useful as long as they can be well managed into funding for viable alternatives for energy, transportation and green initiatives, always being wary that as a government we haven’t managed our tax dollars all too well.
Local and state governments and business must also be brought into the solution process I’m not sure of the framework, but I know there’s enough potential to make the exercise and creative process worthwhile.
I’m not willing to play dead on this issue anymore, it’s time for us as Americans to really look at what we “can do” for our country. There are so many people losing their homes, jobs, hurting from high food and gas prices, and of course the war is on top of that…we all want relief…and we don’t need anymore finger pointing…it’s our job to help each other out.
It’s truly time to ask, not what America can do for you, but what you can do for America.
I hate to see tha pain high gas causes to the lower class but we middle classers need a swift kick in the pants and own up to our owm mess we created. Buying 10-15 mpg cars, its your own choice. Congrees should outlaw large cars now and force better milage engines and smaller cars. Its simlar to the housing mess, people taking out risky loans to buy more house than they should, not to mention it gobbles up more energy. Hope everyone knows that all of this is a zero sum game.
What is the US getting out of providing protection and aid to foreign countries? We helped Kuwait, and kept military there at a very high cost to our government. Why didn’t we negotiate low oil prices in exchange for our services? Why didn’t we do the same in Iraq? Let’s stop trying to BUY FRIENDS overseas, and take care of our FAMILY here!!! Katrina victims are still left in horrendous conditions, yet the government will wait to help them while we send aid to a foreign nation! It no longer makes sense!! We are a massive country with a massive economy, and we import enough product to get lower prices than other countries a 10th of our size!
If the wacco enviromentalists in this country would let us drill for oil or natural gas, we would not be in the mess we are in. They are more concerned about protecting some little minnow or bird that they have put us in the position by not letting us drill or build power plants. They have put people at the bottom of the priority list. The Democrats need to get off of this enviromental wagon and let us use the resources we have. There is no substitute for oil. We are destroying our own economy because the liberals will not let us grow. We produce 40 percent less oil than we did in 1985 but population has increased so much that we need 30 percent more than we did in 1985. Do the math. I am tired of the tree huggers putting everything else ahead of human life and opportunity. The liberals are dragging us down to the point where we will all be back in the horse and buggy mode of transportation. No one will stand up to them and put the people of the USA first!
The answer to higher gas prices? Drive autos less/spend less on buying gas…build & improve high speed rail in this country along with promoting light rail systmes for our cities…then we’ll have to depend on the auto much less…
I am so sick of ALL of the excuses for raising gas prices!!!! It seems like everyday that there is a new excuse for the price increase.. Nobody should be paying what we are paying.. It is sad when you can drive down the street and see a 15 cent difference in price.. That tells me that we are getting ripped off !! I don’t know about anybody else, but I have kids.. Is it going to come down to not being able to feed them?? When is it going to stop?? Probably never.. I wonder if the higher ups are having to scrimp and save just to get by.. Yea Right!! They are all too busy sitting back and deciding what they can raise prices on next to break us even more..
The rich oil kings are getting richer while senior citizens on fixed incomes have to steal gas. Only in America
USE LESS. Like so many things, if we don’t like paying a company’s high prices, BUY LESS OF THEIR PRODUCT. Recall about ten years ago when gas was $1.39 cheap and sales of gas guzzling vehicles went up? Now it’s time for the pendulum to swing the other way, so buy less/conserve. Meanwhile, yes we need leaders to facilitate solving the energy issues of today and tomorrow. But a big oil tax will not solve anything long term…in fact it would surely be passed on to consumers. Don’t like big oil? -Then stop buying what they’re selling, or at least start using less! Think about it…
How soon we forget. We’re driving head long into another gas crisis. We nearly buckled when people had to actually ration gas. All of a sudden, the US starts looking at alternative energy. Then the embargo gets lifted and we go right back to where we started. Like the analyst stated, we’ve dug our own hole.
As I read the comments on the article I see a lot of finger pointing. The finger never points to the right group. That group is you and me the American consumer. We think it is our right to climb into our vehicles and drive as fast as we can to get to our destination. We all drive faster than the posted speed limit. If we want to do something SLOW DOWN. This is the easiest method to reduce the price we pay for gas and we have control.
Remove speculation from oil bourses. An estimated 35% of the current price of oil is due to Wall Street and other commodity investors purchasing futures as a hedge against the US dollar, and a shaky market. Raise margin requirements making it less profitable to speculate on energy markets.
Then, as gas prices begin to come down, offset the falling price with higher taxes on gas to maintain the price – thereby forcing Americans to start conserving energy instead of squandering it like we have for so long.
But taxing it more now without stopping or curbing speculation in the price will overshoot.
OH yeah, don’t forget profit are above and beyond ALL expenses including TAXES,$ 40,000,000.00 CEO retirements ETC.
The oil industry reported a $123,000,000,000.00 profit, I’m sorry but a profit is above and beyond all expenses including taxes which they told congress that their tax bill of $19,000,000,000.00 was the reson for such high gas prices. Come on people get a grip, If we as a people do not stand up to our govt.(oil business) what are we to do just stand by and let big business put all our small buisness owners out. We need to take a close look at Brazil 80% of their fuel is made from sugar and has been since 1973 (oil Embargo) Duh there are other choices. But the big oil needs to be put back in their place. Also if we pulled out of Iraq oil prices would drop ( look back at oil prices before the war and look at them know) Every war ever fought has either been about either religeon or MONEY !!!
The funny thing is that the fellow who says our cars and cheap gas gives us “mobility” and “freedom” is way off base. He’s romanticizing cars and cheap gas as much as the Beach Boys did. Our big cars, cheap gas and big houses decrease our freedom and mobility. Sat in rush hour traffic lately? Is that freedom or mobility? I would welcome $8/gallon gas as long as we used the windfall wisely like they do in Europe. Instead here it goes to people already too rich to even notice the price of gas.
I keep hearing how much higher gas is in Europe.What you people who justify the high prices here,Neglect to mention is that you can go most anywhere in Europe for the price of a gallon of gas.Thats by train. We dont have a transportation infrastructure in this country.We are well on our way to becoming a Third World country.Who will pay those prices then?
Politicians could have encouraged us to carpool with financial incentives or through tax subsidies toward car insurance premiums. Carpoolers use thier cars less because of sharing cars with riders or vice versa. Insurance companies are eerily silent on potential discounts on premiums like they do to good drivers, etc. Insurance companies bombarded car owners with pamphlets and brochures, yet I see almost nothing on carpooling incentives. I decided to drive my cars less and I called my agent about my lower annual mileage. Guess what? I got a discount. I had to ask , so why cant you, too? Silence is not exactly golden anymore these days… Silence is not expected to thrive in a democracy, right? Sure we made a lot of noise over nothing … nothing substantial because we avoid them to save the linings in our wallets…
Why is it that no one talks about what is really going on? Do you really believe “developing nations” are driving the price of oil? Investors are driving the price of oil. Period. Its just a game for them. It amazes me that people in this country have absolutely no idea where our oil even comes from. The majority of our oil comes from Canada and Mexico. No wars or coup`s going on there. Think about it.
For those he think drilling in Alaska and the artic is going to help…you’ve got it all wrong. Production would be a small drop in a very large barrel and wouldn’t move price at all. But I guarantee if Venezuela said that they would increase production for the US all you Republicans would no longer care about Chavez’s politics.
We use to talk alot about many people having to choose between buying needed medicine or food. Now instead of fixing that problem we just add another component. A triangle that will trap so many people in it:
food
gas medicine
Any choice takes from the other. In my opinion any relief will help. Just a few dollars can buy a meal or badly needed medicines. Ask someone without food for breakfast if a few dollars would matter?
I just learned today from a fellow white collar oil industry worker in Iraq, The US GOV in in for the oil over there primarily due to China, and Iran, and prevent a takeover of supplies. I believe that the GOV regulated gas prices in the 60’s and 70’s, they should do it again, although a lot of people will not remember that scenario. I just hope the gentleman that has invented Hydrogen/Gas powered car (uncompressed)
is not done away with, before he can market the conversions for 99% of vehicles on the road today.
Our politicians, mainly democrats, have for years discouraged and blocked domestic exploration off our coasts and Alaska and all over. Now we are suffering because of that. We desperately to ramp up domestic exploration.
“Low fuel taxes and prices sprung out of a national love for mobility going back generations, said Robert Lang, director of the urban planning think tank Metropolitan Institute at Virginia Tech.”
Oh my god, they don’t think at that think tank, do they?
So low prices sprung from high demand? well we’d better run the demand even higher to get the prices back down.
Now some Government policies make sense… if they’re using this sort of thinking as a standard.
For God’s sake don’t let demand drop, the price will skyrocket…
Does that sound even half plausible to anyone?
“If you’re already paying $4 in taxes, said Schipper, then an extra $2 a gallon isn’t that big of a deal.”
HAHAHAHA….
Wait, he was joking right? Right?
Damn, he wasn’t?
Well, if you’re already paying $6 in taxes, then $9 isn’t such a big deal either.
And if you can suck down $9 then 2what’s the big deal about $15? Hardly any difference.
Actually, lets just set it to $500 now rather than this nickel and dime crap. On top of the actual production price of course, this is just taxes.
Then nobody would notice minor fluctuations in gas prices. Wouldn’t that be nice? then the price can vary from $501 – $505 and nobody would even notice.
They’d be starving too much to care, but hey, why not?
And while we’re taking Europe’s policies as a good plan, lets go for the 15-20% unemployment. Can I suggest the guy who wants higher gas taxes to damage the economy as one of the first to enter the newly unemployed masses?
Sorry, I just read another one of “those” articles (norb, Jackson, MI). Before World War II, Roosevelt indebted the US with a little highway building program that massively increased the ability to drive freestyle across
this great land. Same guy who invented Social Security. I take that back–same guy who asked Congress to invent Social Security, as big a Ponzi scheme as any I’ve seen yet. And let’s not get to LBJ and Nixon…
J Marek in Montana: That’s like asking me to fill up your gas tank when you pull over to ask me for directions. It’s your vehicle and your responsibility alone. I think it’s aggravating to insist that the Iraqis subsidize US equipment they don’t even use!!! Reminds me of the British in 1773 when their soldiers made use of any colonial space they saw fit; for the record, we passed an amendment banning such practice. Look it up. Now we can do unto others what we banned done unto us.
Schipper should actually think before he comments in that article. If gas is already at $4 per gallon, then an extra $2 is 50% MORE, and should be considered a big deal!!
As to the “digging” of the “hole” section,I absolurely agree. I can’t count the number of times I (short as I am) used to be ridiculed for driving a subcompact car when I might have chosen something much bigger. I have no family of my own and do not require the ability to lug 2 tons of concrete anywhere,so why pay more to get to the same place? That’s the damn reason gas is approaching $4/gallon!!
The government should put a freeze on the prices.this is price gouging no matter how you look at it.
I agree with those who feel that gasoline should be more expensive in the US. I think that it is especially important that the government not send a signal “we will try to get the price down as much as we can” because this encourages people to buy SUVs, homes far from their jobs, etc.
However, I also feel for those who are having trouble making ends meet and don’t want any price increases. The policy that I’d favor is increasing the gas tax and rebating the proceeds equally per capita.
If the U.S. had an efficient rail system like other countries (like in Europe), we wouldn’t rely on car transportation as much. Unfortunately, our government does not work to provide better rail transportation to the U.S., probably because there is no oil involved in rail. Therefore, our leaders would not benefit as much as when we burn through jet fuel, and boost there oil stocks. But high-speed rail is in need in the U.S..
Gas doesn’t cost relatively more in the US because oil is priced in US dollars. It costs more because the US dollar is worth less relative to other currencies. Oil could be priced in any currency; our prices go up because the dollar is weak. The dollar is weak because of the rediculous level of stupidity in our banking-financial sectors and our government.
The US should take a look at how the European countries handle their gas and the taxes that go with it. I have no problem with companies making a profit, but with an average of $0.48 per gallon in Federal & State taxes, the rest seems a bit much for company profits.
The US should increase the gas tax while holding down corporate profits by not letting them pass the increase on. This increase in taxes should be used to help with better local, state and federal public transportation in the form of better roads and improved bus & train service. The lack of a decent public transportation system in most cities & states keeps us in our cars. We are spread out but there has to be a solution to this problem. More research money should be given out to help improve our current gas consumption and to help find better fuel options for the future.
Maybe we (the US) should slow our lives down a bit. Find other ways to get to work or to that out-of-town business meeting. It seems like we are always in a rush to get somewhere. Our dependence on oil (especial foreign oil) will be our downfall. Other alternatives will be needed!
The price of $18.42 per gallon cited for Sierra Leone is so wrong, “it hurts.” The correct price of gas is 15,000 Leones which is the equivalent of about $5. I am not sure what, if any, investigation for this story was done, with regards to Sierra Leone for them to have gotten it so wrong. I have called the editor’s attention to it and I hope they will issue some sort of statement correcting the error soon.
Why isn’t Iraq made to pay “so many gallons of oil a day” in exchange for us being there. We pay when we want something. Why should they get it all for nothing?
The cost of the present Iraq war are one milljon dead Iraqi people, 600 billion dollar military cost for the US and two trillion cost for the world economy. This is only for oil YOU in the US actualy dont need.
The energy consumption in Europe is already more then 50% waste. The US level of energy consumption is more then 80% waste. Before making war with other countries and kill innocent people start firts doing something about your energy waste.
Stop “Suburbia”. Build your cities up with self sufficient units. Start to use more energy efficient appliances and cars. The technology exist. We only have to use it.
Increasing in the US the tax with $5 per galon gas is a first good step (still nog enough) to fix your government budget deficit of 500 billion dollar per year.
Greetings,
Hans from Holland
It’s time the US increases energy prices, people apperantly only think about the consequences of they’re actions when it hurts in they’re wallets. I think the average US citizen’s brain is somewhat bigger then the wallnut demonstrated to be R. Reagan’s own in spitting image. So they should understand the limitations inherit by using fossile fuel.
Even if you don’t believe global warming is a result of human activity (I’m not fully convinced either), it’s a fact our kids won’t have anything left if we continue to consume it to drive bigger cars apperantly required to carry smaller brains. One tip: use the earned money to reduce the price on food, for instance by reducing taxes on basic articles (I don’t know how it is in the States, but in Europe prices went up a lot). The people that like to show off with they’re big car will pay for something that benefits all.
Unfortunately public transport isn’t any more what it used to be in the Netherlands. Under pressure of the European Union the Netherlands privatized the railroad organisation during the 90’s. Consequently the NS (Nederlandse Spoorwegen = the railroad organisation) started paying ridiculous salaries to ‘top’managers, didn’t invest for many years, cut back on the frequency of trains and the distribution among the less populated parts of the Netherlands and got at least twice as expensive to the consument.
So, basically our public transport sucks. I’ll give an example, when you travel by train from Maastricht to Amsterdam, which is about 213 km by car, you pay 28 Euro (around 50 if you also go back by train)! By train it takes 2 hours and 29 minutes during the day which is competitive (with respect to the duration) but it takes 3 hours and 40 minutes when you go back during the evening.
Now, this is a beneficial example because you travel between 2 large cities, usually it takes 50% – 100% as much time to arrive at your destination by train, frequently you can’t travel back any more after 8 – 9 pm so you would have to leave early of spent the night (if possible). No, if you realy want to be mobile you need a car, also in the Netherlands. I wish I wouldn’t but I do. I can easily cycle 20-40 kilometers on a daily basis and more than 100 kilometers when I have a free day but for larger distances I need motorized transport which is very expensive in my country, by car and by train.
You might want to check this out: http://www.ireport.com/docs/DOC-17992#
To the people in The Netherlands the US gas prices are an absolute joke! Considering the low exchange rate of the Dollar, our prices at the pump are up to € 1.52 per litre, which is $ 8.88 per gallon because we tax it heavily.
A lot of this money is to cover up for tax losses and reduced income from our national gas reserve exports. I think that the right thing for the US wouldbe to gradually increase taxes on gas and use that money for social benefits, such as good health care or the police.
Whats the problem? Before oil was discovered, we got along fine. People lived close to their jobs. Fresh bakeries, vegetables, food in general was close to the consumers. Discovering oil, provided energy, which allowed/encouraged people to acquire gasoline driven vehicles and move further from their jobs. Look around in traffic, and notice one person per Humvee like vehicles. Cheap oil allows this. Oil consumption in the US is about 18 mbbls/day and rising about 1% per year. We pay the shieks in Saudi Arabia billions of dollars a year for oil. Exon has posted record profits, in the multi billiions, for these last years. Bottom line is; people will take what they can get. We have the power to address this by changing our personal demands and living situations. Some day the oil will run out, and we will have a real problem.
At least people in Europe have an alternative to high gas prices. They have state sponsored cheap public transportation. Buses, Trollies, Cabs, Local and long distance trains, trains that you can drive your car onto etc. The vast majority of us in this country do not have access to any such luxury. When is the government going to wake up and realize that we need more public transit. As many of us know there are plenty of train tracks running through our cities why can’t we figure out how to use them for people and freight.
What came first, the chicken or the egg?
The fact that other countries have better public transportation than in the US is largely due to their tax policy.
Get real, people! It’s not your God given right to use a limited resource indiscriminately. And if higher taxes would stop the wastefulness, spur increases in technology, improve roads and reduce our dependence on foreign oil, I’m all for it. France is heavily dependent on nuclear power as are other countries. How about it here?
It’s obvious corn based ethanol is not the answer. Personally I would pay much higher gasoline taxes if all the corn based ethanol plants were destroyed. That’s truly a wasteful policy and is a tax on our poorest citizens. Not everyone needs to drive, but everyone needs to eat.
One issue that is being forgotten is that the advent of malls and shopping areas away from the core of a city came as a result of a mobile society. Merchandizers realized that the populace had the means to get to the stores wherever they were built. Hence the spread of the mall. Centralized shopping disappeared. With centralized shopping public transportation was feasible but not so with malls spread out all over the place. So, in many ways the mall buliders and the auto manufacturers are in a sort of collusion forcing all of us into our cars to get our needs. And now the horrible truth of it all comes home to roost as it’s costing excessively to get to those spread out shopping centers. Maybe the stores in the malls need to start giving gas rebates for shopping there. Unfortunately, that would only mean higher prices at the shops so nothing is gained. The only resolution is to shop as close to home as possible or while coming home say from work.
To my understanding the reason gas prices are so high in mainly European nations is because they have a higher cost of living than we do. They are paid a lot more than we are and european nations are not as populated in america. That is why some European automakers are considering building more plants in america do to the fact that they have to pay european employees a lot more. I think most of us should face the fact that of inflation in america right now it is out of control. However I know we will bounce back to normalcy soon!
We need to evolve – 4 day work weeks (10 hr days) mean less commutes. Let’s step into the 21st century and work from home. I’m sure MANY jobs can be done from home, where now, people commute
I do not believe that the problem of high gas prices comes from the taxes government places on the gas we use, but the willingness of the oil companies to reap outlandish profit and basically rape the US economy.
When any oil company is posting billions of dollars in profit in a given quarter and continues to complain that they can not raise prices fast enough at the pump, they are robbing the American people.
When oil companies post such ridiculous
profits, the stories of shortages and manufacturing difficulties sound like transparent smoke screens provided for the foolish consumer that’s to busy with their big screen TV and cell phones to realize what’s going on.
While it is important for businesses to make a profit, pricing a needed product so high that it strains the nations economy to the point of collapse should be criminal. At one time, the type of price manipulation we are currently suffering was. Now that our nation is truly controlled by the greedy, everyone else suffers.
My opinion may not be popular, but I think I’m right.
i think that raising the gas prices is not very smart.b/c it makes it harder on people to get to work and what about the people that are barly making it by,they are gonna lose every thing they have and what is gonna happen to them nothing.gas should be really low b/c there are so many other things to do to pay for the gas.
Not everybody who feels the crunch is driving guzzling trucks and SUVs. The fact is that fuel costs have just about doubled in the last couple years, and that could add thousands to gasoline bills every year, even if you’re driving an “economy” vehicle. Don’t blame the victim for living so far away from work (maybe it’s too expensive to live closer), or for driving an “inefficient” vehicle (with a large family, a large vehicle is required). There’s only so much people can cut back before they can’t cut back anymore. Gasoline is a necessity (like electricity, natural gas, indoor plumbing, etc), and until it isn’t, people will suffer with higher fuel prices.
Higher taxes for gas in US is not realistic solution. I live in Europe and I was never in USA, but what I know, that it would take decades to develop better public transportation, which would be suitable for country like USA. The only realistic option is simply get more efficient cars. American cars are from European view very inefficient. American seems to love unncessary huge cars, gas hungry V8 engines and arogant anti-aerodynamic design looking like a brick (look on Hummer). Surely, such cars are also in Europe, but have much lower market share. And almost all bigger cars in Europe have efficient diesel engine.
On the one hand we abhor our reliance on foreign oil, on the other we lament the very thing that will ween us from it. Higher gas prices are good. As a rule the more something costs, the less people consume. If gas goes to $8, watch how the quickly fuel efficient cars and mass transit evolve, not to mention the unclogging of our roadways.
We the public needs to take into consideration our own responsibility for this mess. The answer isn’t going to be found in taxing the oil companies more money. EXERCISE SOME SELF CONTROL, PEOPLE! Did you REALLY need that Hummer H2 so you can haul your kids to soccer practice and go to the grocery store? I don’t consider myself a God-fearing individual, more of an atheist, but we sure have created our own version of Sodom.
It’s important to keep the attitude in American that each of us is on our own as far as what we do, how we spend our money, what we believe, etc. This attitude is readily seen in the vehicle ownership. The adage, “If I want it and can afford it I’ll get it” is what drives the behavior of most people here. There’s a relatively low concept of individual actions in terms of their impact in a larger sense. One way this manifests is how agitated Americans get when they are told that driving a gas guzzler is being a glutton on resources. They will respond with “It’s my right to have what I want” and “No one is going to tell me what to do”. Recently I visited Ireland and saw that there are NO SUVs, NO PICKUPs, very few large cars, and a majority of small cars. Most of those models are not seen here in America. Gas prices here will continue to rise and those that can afford to buy and operate fuel inefficient vehicles will do so “because they CAN”.
If you take the price of gas now and the price of gas in 1955 and adjust for inflation, the prices are roughly equal. Our gas prices now are roughly what they should be if you measure them against inflation over the years. We are still lucky to be paying ~$3.50 a gallon. It does hit the wallet hard, but it is still relatively cheap compared to the rest of the world.
After reading many of the comments, it is quite clear that 99% of you dont understand what is going on, do your research, this is effecting your lives drastically, and you all know nothing about it.
Ralph Fulvio, Peachtree City, GA : May 1, 2008 9:35 pm
“Commodity Futures Modernization Act of 2000 A.k.a: “The Enron Loophole” “
Good work… there is one of the reasons
Posted By SugarLand, Texas : May 1, 2008 9:24 pm
“Venezuelan gas .12 a gallon, Saudia Arabia .45 a gallon: What the hell are the US consumers paying so much for oil??? We have enough oil in untapped reserves its unacceptable (thank the Liberals). The US oil companies are “gouging” and making astronomical profits. When will the American people wake up and do something. But they are sheep and will let the oil companies steal us blind.n gas .12 a gallon, Saudia Arabia .45 a gallon: What the hell are the US consumers paying so much for oil??? We have enough oil in untapped reserves its unacceptable (thank the Liberals). The US oil companies are “gouging” and making astronomical profits. When will the American people wake up and do something. But they are sheep and will let the oil companies steal us blind.”
First of all, you are crazy to think that when they got there hands on that oil in our “reserves” that they would not exploit it as well (most likely they would sell it at “Market Value” aka what you are already paying). Secondly, Venezuela offered to help us subsidize our oil, but BUSH, yes your conservative hero turned him down because he thinks Chavez is a bad man… hes a Comi you know… stupid is is stupid does…
To a vast majority of the rest of you. Oil is sold in dollars… or atleast it was till a few days ago (Thanks Tahron)… so the value of the dollar has no effect, good or bad, on the price of oil, our inflation makes it seem that it does, and how many dollars other countries can get for there currency, but the price of oil = dollars. Also, comparing prices of things in other countries with different economies and standards of living is a very complex issue with a whole lot of factors… and in general principle just should not be done. Just except that if its bad for you its bad for them too… even if they dont realize it yet, like OPEC nations. Which I understand is the basis of this article, but it is obviously pandering, and should be ignored… the other stupid issues in it are what are important, and I already pointed those out.
I know most of you dont understand economics and dont care, but you should, what Iran is doing by moving to the Euro and Yen for its oil trading is very dangerous to us, the fact that them, China, and good number of other countries have been dumping there holdings of US dollars for the last couple of years is what has been causing a lot of our currency value drop… though not all of it. You are not hearing about any of this very much because A. They dont want to scare you, and B. they think you are to stupid.
Im not an economist, I am an engineer, I know these things because I research them, keep up with them, etc. You should to, educate your self, and have conversations that actually lead to something, not this senseless bable that is taking place, incite the public, and get something done through knowledge, the Progressives did it in the late 1800s and so can you today.
Many responses here have hit the nail on the head by saying the comparisons made between the US Situation and other countries in the world are incomplete at best.
While I understand that the thrust of the article is to suggest that by keeping our taxes on gasoline low we feel the bite of price increases worse than most countries, the writer and the “experts” quoted have very conveniently glossed over the fact the U.S. is barely in the top 3rd of the “lowest prices” list. Hardly the cheapest. They also wait till the end of the article to show which countries bookend the list. And, while Aruba and GB are expensive, where is mention of public transportation as an alternate means of conveyance? Where is mention of the physical difference in size and layout of the countries and cities? And, where is the mention of the difference in sheer volume of consumption.
I’m not a business guru, but, taking a page out of the Walmart book, don’t you actually lower prices when you’re buying in bulk? With so much gasoline consumption in this country, an oil company could post record profits by never actually raising the price more than a few cents a gallon. So… where is it mentioned that Oil companies pushing the prices higher and higher have posted RECORD profits year after year? Not “record” profits of maybe a few hundred thousand or few million dollars every year, but -Record- profits which make Bill Gates salivate. No mention of this little relevant nugget.
Again, I’m no “expert,” and I could be way off base, but I’m also sorry to say that this article seems trite and superficial at best.
It’s quite amusing, sad actually, the number of comments on here that appear to demonise European countries and/or the fact that a comparison is made between the US and Europe. Yes, we have better public transportation in Europe, Yes we have better health benefits in Europe, yes, we are a series of smaller countries, but we do still pay quite a bit more in fuel prices than residents of the US. Let’s also be perfectly clear about the fact that the higher taxes that we pay in fuel costs DO NOT fund out national health care scheme, they fund road works and public transportation enhancements. Our healthcare is funded by the 48% or more in taxes that we pay on our salaries.
The problem is not one of comparison to other countries, but rather an American problem which needs to be fixed by the US government and the general American public. I seriously doubt that most American’s would be thrilled with a 48% tax on salary, 21% tax on most products, including fuel (keep in mind that you are only paying 18% tax per gallon of gas).
The US could have better transportation systems and better healthcare, but it all needs to be paid for somehow. That payment is generally made through higher taxes across the board.
Oh and don’t let the recent reduction in interest rates fool you into thinking that this will improve the economy anytime soon. This will only allow for higher prices in oil (and gas) as more investors will be hedging other investments by investing in “cheaper” oil, which will then of course drive the price higher at the pump.
At one point cheap oil was plentiful and we saw no problem building entire cities and regions around the automobile. Oil is a finite resource and nowadays most of it is located in volatile regions of the world. People who think that this situation will not lead the price of gas to naturally increase over time are, in my opinion, mistaken.
I think in the long run high gas prices are good for America and the world in general. Oil has many uses other than being burned as a fuel that are much more important. So many industries would be crippled in the event that we ‘run out of oil.’ Lucky for us, there is much more oil in relatively stable regions that has yet to be extracted because it is presently cost-prohibitive for companies to do so.
There is much that Americans can do to reduce their use of oil. Only buying a truck or SUV if you actually tow things or have a large family is a good starting point. Also, do the math, in the long run it is probably cheaper to buy the more expensive house in the city/closer to work than it is to live in a suburb 20 miles away where you sit in traffic burning hundreds of dollars a month.
It’s funny people defending cheap gas in US because it doesn’t have half way decent public transport as compared to EU . It does appear these folks do not understand that high gas tax for the last 3-4 decades is exactly why EU was forced to develop nice public transportation system and why population there was motivated to use high density housing options vs urban sprawl in US where you HAVE to drive to everything. It appears policy choices in EU were correct anticipating depletion of hydrocarbons and rise in prices and US was not correct in their long term outlook. Now is the time to reap what was sewn.
I have lived in US for about 8 years and I personally don’t get what posters are referring to by “open spaces”. All I saw is a row upon row of tract houses on tiny lots and monstrous amount of highway overpass mazes. It’s amazing how much land is taken by roads in US.
My husband and I moved to a very rural very small town, 400 people in Feb of 1991. Our nearest grocery store, bank, hospital or doctor is 24 miles one way. We came here because a house for $35,000, would have cost us $175,000. elsewhere. We have no gangs, no gang shootings. So, guess our country would like to stick us rural folk in one big city so they can change the type of transportation we can use. On range land, you have to use the bigger pickups to rove over your property. If you look at the countries where the gas prices are low, they are the onew who HAS the oil in their countries, so, they don’t have to pay much per gallon. I would just like to know what went wrong in our system to get us this higher gas prices. HMMMM, maybe is time for the old CEO’s and the families a time to take a great old vacation on their big old oil burning luxury yacht.
The United States needs to develop new technology — for example, synthetic oil — “syntholeum” — could be made at SAFE nuclear plants — plants sited in isolated locations well away from major population centers — The technology to do so is emerging without much help(See recent IEEE SPECTRUM).
Such “oil” would require no refining and would have a zero “carbon footprint”, being made from water and carbon dioxide from the air — actually mimicking natural processes.
It is time to get off our fat, lazy rear extremities and then start using our heads for the purpose for which they are intended — instead of engaging in pointless political philosopy quarrels and bickering !!!
Only effective, informed, determined leadership — a type NOT on the horizon — can do this successfully.
.
I commute 100 miles a day and drive a great diesel car that got 56MPG on my last fillup. It’s not new technology, it’s available in the US today.
Here’s something I never see addressed and don’t understand. I inherited mineral rights in Texas years ago. I keep them leased out to oil companies for 2 or 3 years per contract. There has never been a ‘dry hole’ on my property. So why isn’t there an oil well every 10 feet? The way it’s been explained to me is that the oil companies make more money in tax savings on unproductive leases than they would actually drilling. Is this true and if it is, isn’t it time for a change?
And btw, I’m not rich! The person who owns the mineral rights doesn’t really make that much.
Hey…I’ll pay the same high gas prices that are posted on your list…If this country will pay all of my health care…like those socialist countries do. Until then how about taxing the oil companies more and regulating the price of gas so the oil companies can’t pass the cost of the tax onto the consumer.
Are some of you people *expletive* serious? Why would some of you people not only give more of your rights away, but suggest that the government take more of your tax money? You do realize that the government won’t spend the tax increase anymore efficiently than your current taxes, don’t you? As many have stated, the geographic outlay of North America is different than Europe and driving is also a necessity. I say that the Federal government merely mandates a 40MPG fleet average (excluding business vehicles)for all manufacturers by 2010. This would not only reduce demand, but also prices.
I lived in Europe for quite awhile – they walk and ride bikes much more than we do, they have a much more expansive and efficient public transportation system than we do, and their teenagers (and a good number of adults!) drive mopeds. They’re better at getting places than we are, and they’re less dependent on gas.
It is totally ridiculous to compare US gas pump prices with other nations especially Europe where they are totally dependent on Arab oil. Here in the USA we have plenty of oil of our own. I have travelled all 7 continents and have been to about every country in Europe and have never spied an oil well there.
Great article. Americans need to be reminded of how lucky we are. Given that our gas use per capita is quite a bit higher (higher relative demand) than many European countries this says alot about our fortunate position.
You would think those other countries would be leading the world in alternative energy research. But alas….
We have enough oil in untapped reserves its unacceptable (thank the Liberals).
We have oil reserves, but expensive to drill, compared to Venezuela and the Middle East where it’s basically a lake near the surface. We should hope that the reserve in the Dakotas / Montana will allow us time to change our ways. But we need to change our ways.
The price of gas is NOT determinted by Supply and Demand – it is determined by the oil companies.
Lets pull our troops out of guarding the people of Iraq that really don’t want us there. Have our troops guard the oil, claim it as property of the United States, ship it to the US and flood the market. The oil companies (and OPEC) that get to control the amount of imported oil which ultimately affects the amount of oil available to be refined; in turn affecting the price as gas (that they determine anyways). The new flooded market would bring supply and demand back in to the equation and prices would drop really fast.
I too must say that the suspension of the federal gas tax is ridiculous. You would think that those in favor of this would be smarter about it. That 18.4 cents per gallon brings the government hundreds of millions of dollars at least, and let’s see what it will do to the individual. Even if you drive a 15 gallon car and have to completely fill up your tank twice every week during the 14 weeks between Memorial Day and Labor Day, you will save only a total of $77.28. And very few Americans are going to have to buy 30 gallons of gas every week. To cost the government many many millions of dollars just so I can save $50 or less makes no sense.
I think that every excuse that is used to explain away the high gas prices is just a “copout” so that the real reason does not have to be dealt with.
I am so tired of hearing about how we have it “So Good” over here in the USA with “Cheap” gas. STOP PRINTING THIS STUFF. After living in Scandinavia for 2 years, it was evident why high gas did not “Hurt” its citizens. Why? BECAUSE THEY DO NOT NEED TO DRIVE A CAR!!!!! Super cheap, readily available public transportation, free health care, free education. Oh yea… I forgot… if you want to be healthy then you can ride your bike ANYWHERE on their “bike streets and highways”. Oh yes… they have a separate road system for the bikes, complete with overpasses and cloverleaf type transitions. The suburban sprawl is no where near what it is like in the US and their country is a fraction of ours. Stop printing this dis-information.
Our ENTIRE INFRASTRUCTURE demands cheap gas. PERIOD. Should we have a better public transportation system? Yes. Should we drive smaller cars? Yes. Should we stop the “Suburban Sprawl”? Debatable. But these changes will not happen over night… like the gas prices.
A message to all you in Europe. Please stop telling us how “good” we have it with cheap gas. You are comparing Apples to Oranges.
Are you insane?? The countries that have “high gas prices” do not have any natural resources to draw upon….WE DO!!!! Of course they have expensive gas. If you want a shock check out the prices in Columbia and even the war torn areas in the middle east. Disgusting! Please explain the benefit of having oil.
Comparing gas prices in the US to those in Europe is like comparing apples and oranges. The US alone occupies almost a whole continent as big as all European countries combined, but has a lousy or non-existent network of public transportation. Europe’s cities and small towns spread vertically and have more population densities, unlike the US, were they spread horizontaly. Unless you live in a major city where you can take a bus or subway, the car is pretty much the only means of transportation to get you from the suburbs to your place of work. Here in Silicon Valley, where the average commute to and from work is around 40 miles, if your car does not start in the morning, better take the day off. Until our government decides, like all European countries, to invest in every corner of the US in mass transit, let’s please forget about this silly and lame comparison with Europe.
I switched to riding a 50 CC scooter a couple of years ago. I commute about 15 miles a day and fill up once a week for about $3.00. I think if gas prices get to about $20/gallon I’ll start riding my bike.
Actually, I think Hillary and Obama and McCain for that matter probably do have a better idea of how to run your life than you do. They are all extremely intelligent driven people. That doesn’t mean I think they should make decisions. But if you are happy with the current system of private health insurance – maybe we need some social engineering.
I’m with Tony. We are using it up at such a rapid rate that we don’t realize oil is not sustainable. Taxes on gas must increase to force us to be wearier of our use of it. We also don’t realize the gross environmental impact we are having by using so much oil. The monetary cost to the consumer does not reflect the cost that emitting so much CO2, NOX, and other particulates have on the environment. I’m glad that people are having trouble paying for gas; it will force them to be more efficient and conscious of their use of it.
With all the respect i think you have to post the corect information. I have to say that the information about gas price of Aeuba is not corect. The prices in Aruba are in guilders and in liters.
As Afl.2,26 multiply 4.5 for the convertion to galons it wil come about Afl.10,17. In Us doller it will be
$ 5,65.
When we have $8 gas as does Europe then we will be living in 1000 square foot flats with two families as they do. Driving mopeds and happy to do it.
In Europe they travel much shorter distances and they have excellent, affordable and modern public transportation systems.
These facts have been known for a while now. Some people in the U.S. don’t know about them, but most people just ignore them.
I’m a firm believer in raising the gas prices in the U.S. astronomically. $6 a gallon i say, at least.
Until people are forced to buy high MPG fuel vehicles, move closer to work, or take public transportation, everybody will keep doing whatever they want..like thinking oil is water that will always be there.
The gas tax suspension is just total pandering by McCain – who at least admits he knows zip about economics – HillBillary. Only Congress and Bush together can effect such a tax suspension. Are they truly so stupid as to think that’s going to happen? Pure pandering.
It’s about time we Americans realized that we have to pay for transportation. Maybe we’ll grow up and start taking public transportation seriously and switch back to trains instead of trucks to move goods. That would help the environment, save money, and teach us a good lesson about selfishness.
A) The article makes an incomplete comparison between gas prices in different countries. In my opinion, other measures are needed to make a conclusive comparison. Example, we are paying less in gas price but more in health care compared to some European countries.
B) I am pretty sure the mass transit is not the solution in US, at least in California with the way cities are designed. We chose a life style and it seems like we like it since we never changed it. It is a package including longer commutes. We can switch this over night even if we want to.
C) Changes in the gas price will inevitably affect the price of other goods. So, just saying that it will be “good” to have higher gas prices is over simplifying. Understand the anger of some people over SUV owners, but please do not make the gas price issue about having or not having a SUV. It goes well beyond that.
D) I also refuse to believe that the price of the oil – which has ties with gas price – can go up from $20 to $120 in 5 years without price manipulation by the oil industry.
E) What do we do? Can’t say unless we have all the related data. But I am sure I don’t want neither a European lifestyle nor a oil-rich-country one. Am all in for rebates for the people who drive a “green” car. All in for funding research for alternate energy. Come on… if these guys (http://www.teslamotors.com/) can make a Ferrari-performance electric car, I am sure it can be made cheaper for ordinary people who don’t need 3.9s 0-60m!
This man is an absolute shill for the oil companies. It is disheartening that turner allows this type of paid mouthpiece a voice for any reason.
First, people buy homes they can afford, where they can feel safe. It is no necessary for big business to locate or relocate to large metropolitan areas where the cost of living is astronomical and crime rampant in the schools and the streets. And where real estate is grossly inflated in it’s price.
The fact is that Wall Street is making enormous amounts off of inflated engery prices and the working middle class pays for it. And the reporter gets a kickback or wined and dined by those making money off of the working slaves.
True, gas is relatively cheap compared to most countries. However, those countries don’t depend on gas in everyday life as much as we do. The U.S. is so spread out (geographically) and has so many populated, but non-urban, areas that alternative means of transportation aren’t available. Moreover, it is precisely those consumers in those areas that are feeling the squeeze the most.
Since there doesn’t seem to be an effective replacement for cars in those areas, people in urban areas should try to reduce dependence to make life easier for the rest of America. And, there ARE ways for the government to help other than the same old talk. Although America has always been a leader in innovation, our transportation infrastructure is ranked lower than it should be.
What if the government helped subsidize a project to connect all major cities from Boston to Washington, D.C. by one of those high-speed magnetic railways like France, Japan, and China already have?
Why can’t an engineer come up with a more aerodynamic tractor-trailer since we depend on thousands of them everyday to supply goods across our country?
There are simple, effective ways to cut fuel consumption in the United States, and ideas like a “gas holiday” are not going to solve anything. We’re in a rut, and it’s time to get out of it.
And so we have simplistic solutions by politicians like Senator McCain who wants to give us a “gas tax holiday” for the summer! Maybe we should think for long term solutions which would reduce consumption of gas, decrease greenhouse gasses, slow global warming. Smaller, more fuel efficient vehicles would be a good start. Maybe tax incentives to buy them, instead of tax incentives to buy Hummers and big SUV’s, which we had a year or two back.
Lots of people in the US are completely SPOILED. McMansions are everywhere; Hummers are everywhere. High schools have to have parking lots, and those lots are FILLED with SUV’s. Every kid over 16 in high school thinks they have to have a car. What have we become? I think we’ve become narcissistic, while studying our navels.
I’ve been to England, Holland, Germany, France, and Italy in the last five years, and the people there value *living* more than they value *having*. While it may appear that the US lives better, the reality is that the US works more hours than ever before…to keep up appearances. People in the US don’t have time to live life. There is also the fact that U.S. Capitalism has become a BIG greedy monster…looking to devour and prey upon a country’s population in any and every way possible. Fortunately, but unfortunately, the monster has nothing much left to eat now but the bare bones….
Add a $20/barrel tax on imported oil and use it to fund energy alternatives, with the side benefit of killing off land barges.
Pure propaganda, thats all this is. You can see how the author refers to higher gas costs as a “spike” infering theres a lower trend coming but have gas prices ever returned to a previous mark. No ! Just like department stores marking up prices then saying their on sale. You are being duped into accepting the greed of the powers that shouldn’t be so they can reap profits while we struggle to feed our families.
“The Change” is coming and all articles like this do is feed the fire.
I worked for a Belgium company and the first time I traveled there was almost 20 years ago. Gas back them was almost $5 per gallon. Stop complaining America, others have been paying prices much higher than it is in the US, for decades..
Its amazing how most people spin this into a political debate, like most subjects. This has nothing to do with Republicans -vs- Democrats; it has to do with the incredibly wasteful communities we have built since the end of WWII. Yeah $8.00 seems like a lot, but considering the fact that the dollar sucks compared the the pound and euro and that their communities are built on the principals of high connectivity and high densities, it doesn’t matter because their citizens don’t have to drive as much and when they do, they are not driving Escalades around getting 10 miles to the gallon.
Why we compare ourselves to countries that tax gas to fund thier health care programs is beyond me..
For the high prices Europeans pay, they are getting something of value. Good, affordable healthcare, and a society that takes care of it’s people. We have neither !
Why are gas prices high ?
Commodity Futures Modernization Act of 2000
This made the hedging of oil futures possible (electronically) and with no government oversight..This adds a dollar or more to the price of gas.
Guess who the lobbyists that pushed to have this happen came from…Anyone hear of Enron !
This is the Enron scandle on a Global Scale.
Ken Lay, Bush and Cheney were all good buddies. Why Clinton signed off on it ..I’ll never know.
A.k.a: “The Enron Loophole”,
A massive problem for the US is that after WWII our communities, infrastructure and economy were designed around the automobile, the interstate system and long commutes. This is why high fuel prices could be disastrous here.
Of course a lot of the price increase here is down to the plummeting dollar. $8 dollars isn’t a big deal in a Scandinavian country with a stronger currency and higher standard of living where long drives aren’t necessary.
I think it’s critical to remember that the higher prices we’re now paying are going into profits for oil companies, NOT the public good. If these higher prices were energy policy, I’d support it. We SHOULD pay higher taxes on the gas we consume. We consume too much and we’d all benefit by consuming less and supporting public transportation services. But these prices aren’t based on sound energy policy. They’re based on profits that go to oil companies. Shame on them. Shame on us.
COmparing European travel to America’s options in transportation, is like comparing apples, to pig iron. The rail transportation system is Europe is vastly superior to what AMerica has, which is next to nothing.
Until Americans are given an option, they have no choice. Utntil COngress stops giving tax credits to Americans to buy Hummers and SUV’s, demand will stay high.
Until Americans start thinking conservation, there will never be a change.
Venezuelan gas .12 a gallon, Saudia Arabia .45 a gallon: What the hell are the US consumers paying so much for oil??? We have enough oil in untapped reserves its unacceptable (thank the Liberals). The US oil companies are “gouging” and making astronomical profits. When will the American people wake up and do something. But they are sheep and will let the oil companies steal us blind.
Most of this country is not set up for mass transit. Many people in this country have long commutes. I commute 41 miles to work one way.
I can’t afford these prices. I can’t move because of the increased cost of housing. It would be much more expensive than my current mortgage. Gas is taking a huge chunk of my budget. Something has to be done and soon! There is no legitimate reason that gas is this expensive.
Hearing the presidential candidates talk about eliminating the 18 cent a gallon gas tax is petty vote pandering. If anything the gas tax should be raised and the proceeds used to invest in and improve Our Transportation Infrastructure. Instead of adding a 3rd, 4th or 5th lanes to interstates, the Country should be adding high-speed rail lines!
Unbelievable. This country NEEDS cheap energy. First of all, the countries where gas is more expensive are either tiny, have massive public transit or both. This country is HUGE with sprawling cities to boot. Shipping food from California to the east coast needs cheap energy to be a reasonable proposition as does working in downtown anywhere while living in the suburbs. If the government had been building railways instead of superhighways all this time we wouldn’t even be having this discussion but since inefficient is profitable we all get this crap from now on.
We have indeed dug our own hole. It would be helpful to blame the government, Arabs – anyone else. But we buy SUV’s, have long commutes and build houses far bigger than we need. It will be interesting to see how high prices go before we start to see some real changes. The days of cheap energy are gone.
Until the American people realize the nature of the policies they blindly support, we will continue to be pummeled with economic blows that we cannot withstand. There is talk of $10 per gallon gas in the not-so-distant future if our financial “leaders” keep up this nonsense. Can you say “Great Depression”?
If I wanted to live in Europe or somewhere in the “Rest of the World” I’d move! I want smarter transportation not cheaper and smaller. As soon as every single congressman, senator and every single staff member they have takes mass transit to work I will to!
The sharp rise in gas prices are a result of multiple factors: bad foreign policy, bad domestic policy, etc. Wait! That’s just about everything, isn’t it?
This country is in very bad shape. And the worst part is, if it collapses, we will be treated like the criminals.
Since it is obvious my entire paycheck is to be consumed by the daily commute, I might as well just stay at home and file for government support.
crying for cheap gas, in my opinion, is like crying for cheap candy. the alternative is to find a more “nutritional” option.
This is dead on, I went to Europe in 1970 and was amazed at the high price of fuel ($2.00) but also impressed with the efficient vehicles like the MG Mini and Citroen 2 CV (2 cylinder). Indeed there wasn’t the waste or excess I see even today in 2008. Why in the world any one needs a 4000 lb 4X4 Suv or pickup in flat country with no snow insite is beyond me. We abuse a finite energy and it is coming back to haunt us. It’s time we joined the rest of the world
At the end of the Carter administration we were on a track towards energy independence, more public transportation, greater use of renewable energy, etc. The “Reagan Revolution” sold out America with high debt, getting in bed with the oil and car companies, out of control military spending, and a weakened education system. 30 years of Republican rule is going to be the destruction of America, this is just the tip of the iceberg.
To D.G. Smith, Yadkinville, NC: Mentality like yours is why we are completely isolated from our friends in the world. If we dont think on a global level America will get left behind in the 21st century. Also “conservatives” have been “leading” this country for the last 7 years not liberals
Part of it has to do with the size of our country. If I lived in England or Japan I wouldn’t mind paying $6+/ gal. The freedom that comes with living in the U.S. with still a lot of wide open space makes lower priced gas important.
Many of our legislators do no or will not remember when Americans had to wait in line in the 70’s. At that time the legislators kept telling the Ameican Public their intentions to curb consumption and make Detriot wise up with higher mileage cars. I bought my 1971 beetle in college and still have it. Yeah I have taken the ribbing from my co-workers about my car. Now they all wish to have a car like mine. Last fill-up was 6 gallons for 183miles..The CHief From Cali
First off M, Stockholm, you can stay in Sweden. JAllan makes more sense and is at least defending his country. We don’t live like Europeans, we should not be compared to Europeans. We don’t live in ant hills where one full tank of gas can last us a month or 6.
Yes our country needs to develope better transpertation systems and in time we will. If you take your car out a couple times a week, verses our everyday to work, the cost all comes out the same. Good for you, you can bike to work. Many people in Colorado bike to work. Many people in our country take alternative means to driving. We’re a big country founded by people looking for wide open spaces and anyone who doesn’t like it can leave.
The automobile industrie could do a lot to improve mileage.
How many cars are still selling with a 4 gear automatic transmission (instead of 5/6/7 gears). Or run on regular fuel if premium would allow them to tune the engine for higher efficience (and more hp). And the list goes on and on …
Jurnalist complain about the tiny engine in a car like the Honda Fit. This engine is either top of the line or not available overseas. No one needs a V8 to do 55 miles an hour.
$3.50 per gallon wouldn’t hurt so much if our cars achieved 45-50 mpg like the rest of the world.
Why is congress not protecting us from this madness? Deep lobby pockets from Auto and Oil? The madness of Wall Street speculation based on a tumultuous Middle East future – it’s been tumultuous for the last 50 years…Iran? Bin-Laden? BS!
They know we are fat and dumb happy sitting in front of our TVs too lazy to complain with our neighbors, too lazy to voice our opinion to our congressman, too lazy to go out and vote when it counts. We’ve turned into a bunch of obese, scared sheep who just buy stuff because we can…
Whether you are a democrat or a Republican all you need is a platform of fear, uncertainty and doubt mixed with prosperity and consumption and good ole america will bend to your will.
We are getting the wake up call we deserve. I’m confident we can rise to the challenge as we always have – that’s what makes us so great – we continually get back up when we’re down for the count. Let’s go America! Wake up!
I’d gladly pay 10 dollars a gallon IF it got rid of half of the people on the road that aren’t going anywhere important anyways.People driving their kids to daycare to go to their job that just pays for daycare, I’m looking at you.
Of course then bread would be 15 dollars a loaf…
“In many oil producing nations gas is absurdly cheap. In Venezuela it’s 12 cents a gallon. In Saudi Arabia it’s 45.
The governments there forego the money from selling that oil on the open market – instead using the money to make their people happy and encourage their nations’ development.”
Wow, the above paragraph sound like a fifth graders interpretation of how oil wealth is used in these countries. Who wrote this piece? So let me get this, the governments control all the oil and they decide whether to sell it on the free market for profit or sell it cheap straight to the people and that makes more money so it’s people are “happy” and the nation’s become more developed….? And the author wrote this as if it is a great thing and should be a model of how to bring prices down…What? This is an absurd article.
People like JAllen below make me embarassed to be an American. My standard of living in Sweden is much, much higher than it was when I was living in the US. I started my 5-month paternity leave yesterday (90% of my salary), don’t pay a thing for health care and the gov’t sends a check for about $200 to each and every child in the country who’s under 18 EVERY MONTH…
I live in Europe and own a car (Prius). It’s got about 2,500 miles on it after 2.5 years. This is primarily due to the excellent and dependable (and very expensive) public transportation system. Or due to the extensive network of bike paths that allow me to bike the 3 miles to work on nice days.
Why do I say all this? Because the American transportation system is unsustainable as long as gasoline is put into the question.
My suggestion is for the gov’t to jack up the gas tax immediately but give a $2k check to everyone who replaces a gasoline driven car with a “green” car (ethanol may or may not be excluded). It’s a win-win situation (for the gov’t, the environment, Detroit).
The closing comment by Mr. Shipper, “We dug our hole,” covers it fully. Eventually, Americans will make up their minds to stop digging. The sooner, the better.
When will one of our political leaders get behind a fully funded program to develop a completely new, renewable energy source such as Hydrogen fuel, sililar to JFK’s national committment and funding to put a man on the moon or FDR’s/Trumans Manhattan project that developed the atom bomb.
We have to get off of oil as a fuel source. If the oil industry is an abstacle, invlove them so they have a piece of the pie.
Comparing the US to other countries with high gas prices and saying we deserve the same is idiotic. We are in charge of controlling our life and our freedoms. Most of the world is controlled by socialists and tyrannical leaders and their standard of living is pathetic because of it. Our standard of living needs to be left in our hands and not in the hands of the government. The continued efforts of the liberals will sink this country to the substandard levels of the rest of the world. The government’s only job is to protect our Constitutional Rights; nothing else.
When government officials (i.e. Bush) do not know what current prices are (by the way… why would he, he doesnt buy gas for himself) we have a problem.
This article forgets to mention that in europe, people commute much shorter distances and have much better public transportation. Where I live in Los Angeles, I would have to walk more than a mile to access the nearest bus, which stops running at 9pm ON WEEK DAYS!
Until this gets fixed then we cannot compare our fuel prices to those in other countries.
I don’t know if taxes should be raised UNLESS every single cent is put directly into building the infrastructure that supports other modes of transportation. This is the only way you can begin comparing gas prices in the U.S. to European countries. Yes we have become accustom to cheap gas, large cars and long commutes, but not without extreme waste and inefficiency.
I live in Los Angeles and have set up my life so I can actually utilize the public transportation system, walk or bike to most places I need to go OUT OF CHOICE for the last 3 years. This makes me a freak in this city. The bicycle infrastructure is non-existent here, even though biking is one of the most energy efficient ways to move. Cars are constantly given priority over pedestrians, those riding public transportation and those on bikes. The percentage of the public land dedicated to cars is outrageous between streets, parking lots and garages. By choosing not to drive, you almost are choosing to drop further down on the social ladder and take away these luxuries given to those that drive.
Why is our food shipped thousands of miles to get to us within the U.S.? Why do we need to have grapes and strawberries available 365 days a year? These things are so inefficient there is no question as to why we have problems. Why don’t we eat what we can grow in our communities? This is like getting bike fuel for free and it never crosses U.S borders. Why are some people specifically prohibited from growing edible plants on their own land? Why are we making ourselves sick with smog, soot and ozone in our air?
There is a mental shift that needs to happen not just from the Government in the U.S., but from the people that are being affected. There are some that have made this change, but there are still many that are trying to fight their way to stay in their cars and eat any type of fresh produce every single day of the year. Sadly our government hasn’t found increasing gas mileage a priority in many years, even though it is perfectly reasonable in terms of technology and resources. As a result this gives companies the space to develop large, inefficient vehicles and sell them to as many people as possible. We have a long history of trusting the companies that make the things we buy to take our safety and best interest into account, even though day after day we should be seeing that isn’t the case.
I don’t know why Americans think that cheap energy is their birthright. We cannot continue our current lifestyle indefinitely – change has to happen, but before that, it’s going to hurt. As unfortunate as it is for many of us, the changes that come from pain at the pump will ultimately benefit us all. Whenever I see someone on the news upset that they just paid $115 to fill up their SUV, I think, “Good!”
Let look at some recent US figures:
* Actual refinery output last 12 months – 80% of capacity
* Rise in product demand last 12 months – minus .08 %
* Rise in retail pump prices last 12 months – Plus 18%
* Statement by ExxonMobile of future expeditures for alternative resources – NONE
The oil companies are rushing to retain as much profit as possible because they have a HUGE feeling the the new Administration, along with Congress will cut their tax breaks.
They know darn good and well tha they’ve been agressively leveraging the “decisions” by OPEC for years.
It is too easy to criticize those who made stupid vehicle choices (Hummers used to drive to grocery stores in the tame midwest) when we had cheap gasoline. Low taxes on gasoline hurt us militarily, economically, environmentally, etc. But give people a chance to plan ahead: institute a program of gradually increasing fuel taxes that are phased in over the next five years, so when Americans buy their next vehicle, they can make mileage a priority and avoid SUV’s that have the heft of a battleship. There are two obesity epidemics in the U.S., and one of these is automotive.
I actually am very open to paying $6.00-$7.00 per gallon of gas. I say this because of a few reasons. I’m young, 25 years old, college drop out who majored in Biochemistry and Chemical Engineering, I work two jobs now and I am still paying off student loans for another 15 years but have 2 years left in school. I own two businesses that are struggling to stay afloat but still I wonder how my friends in Germany and Belgium have been able to not work 40-60 hours a week on top of going to school full time. My family did not help pay for my education, only working 2 full time jobs plus student loans put me through my first 3 years. If I didn’t work full time I would’ve been able to finish my education in the fullest because I would not have been living day by day wondering what i was going to do about my next months rent or the next quarter’s tuition. If we had a tax that took directly from gas and added it to our education funding, our college students would not have to make the decision I made – education or live… I’d much rather go back to school than not. And I certainly would like to be able to afford health insurance which for my age and with my pre existing heart condition, is outrageously expensive- pushing 175 a month in coverage… So I dont have insurance and I still have two jobs and a partial education… but I dont cry at paying $7.00 a gallon because if it means I’ll be able to join the working force of higher educated Americans, I know my future has a better outlook. Until then, I’m struggling to get by with $69,000 in debt from school and my businesses and working full time plus a second job and still working on my own businesses. at this point, I’d rather spend the money to invest in my future than watch other countries invest in me working under one of their higher educated bosses. Investing in our selves by taxing a luxury item such as gas will better help our future. But I also think we should tax several large corporations who have not paid the appropriate taxes they deserve to pay.
Rising gas prices are the new standard as opposed to the exception. I cannot count how many people I see driving around big trucks and SUV’s by themselves. Why exactly does (1) person need a(n) SUV? I don’t understand how people afford to drive them honestly. My work car is a 97 Geo Metro. Comparatively speaking, it makes me money to drive it as opposed to my Toyota Tacoma. I am not against SUV’s or big trucks; I am however against people complaining about gas prices that drive those vehicles. Do you really need a Tahoe or a full-sized truck as your work car?
I think some of you including the typical media goons fail to realize that we PRODUCE oil. That should put our prices in the cheapest bracket. How many gallons of oil gets pumped in the UK…..how about Sierra Leone?
Look at the cost per gallon in other oil producing countries and those with domestic refineries.
Let’s not forget though that we in America tend to drive much larger distances than our European friends! They can make a full tank last two weeks, while some of us have to refuel every 2 days!!!
What is really interesting about this, rather lopsided, article is that they do not take into account the entire equation. In England and France, to use the countries mentioned, they have very efficient public transit (Bostons is a JOKE), they have embraced the use of nuclear energy (try getting that around the eco-freakos in the U.S.) and the governments, MANY years ago, mandated that cars get MUCH better fuel mileage than in the U.S. They are also very serious about using alternative energy sources (Massachusetts tried getting wind power off of Cape Cod, Senator Kennedy fought against it because that is where he sails his yacht). The U.S. government has also been kow-towing to the oil companies for decades and now we are paying the price for it. If you are going to write an article of this type, and advocate higher fuel costs, try telling the WHOLE story. Otherwise, you just look foolish.
I do agree that a lot of the issue has been caused by the US being greedy in it’s use and abuse of oil. However I purchased a home as close to work as possible within my means (went from a 45mile commute to 20), I bought the most fuel efficient car I could afford (32mpg average), and I have voted for or supported every major change in public transportation that has come around for the last 14 years (trains, and bus route expansions mostly). What do I do when I have done my part to help but I am still stuck with $3.50+ a gallon gas? What about the other people in my situation that planned as best they could for what was only an inevitable change? We need to be pushing alternate energy, but at the same time we need to change how we are doing it. Because $4.00+ Diesel is raising food prices but ethanol production is too. We cannot sustain this on both sides even if we made the best choices available.
P. S. Sorry for the typos in my earlier comment. Be wary of big oil. It is what it is. They will push for gaining more supply through access to protected lands as a way of solving this issue. Amazingly, they never advocate conservation.
Use Less Gas!
We american always assume that prices will come back down so we do not change our consumption patterns. If were to impose a gas surcharge to fund an conservation program that provides the U.S. consumer $5k-$10k credits toward the purchase new vehicles with hybrid or other fuel efficiency technology we could bring down the cost of gas and lower the cost per mile. The surcharge program should be desinged to maintain gas price levels at point wher consumers are incented to invest in efficient technology. (The truth is that without a conservation program oil prices will go much higer) Over the years this could reduce U.S. consumption by as much as 30% (in fact we could the program can be design to set a targeted national consumption levels) What americans need to realize is that expensive oil is what is driving inflation and compromises our national security. It weakens the dollar by creating huge trade deficets, and causes us to invest billions in alternative energy sourcees. If we can bring consumption down we will not need ethanol- which diverts our agricultural resources away from food production. At the end of the day there is only so much oil to go around. We need to move to a conservation policy soon. If we do not all of the petro dollars we are doling out to Russia and the gulf states will come in and by control of our nations industries and ultimately our congress.
I like the story, gives interesting perspective on our situation. American’s have been so spoiled with cheap gas and created our economy around it. So what happens when the non-renewable source becomes difficicult to produce??? Another perspective I would like to hear about is Jet fuel. What happens when our world hits the downslope of peak oil. We already have limited alternative fuel and fuel-efficient cars, but what about planes??
I am delighted with higher energy costs. I advocate $5 per gallon with increase in taxes to maintain roads, bridges, tunnels in disrepair. Energy is like drugs; when cheap and plentiful it contributes to people’s short term, careless decisions.
Higher prices is only lever to drive change in America. Families are slowly being destroyed by bigger homes (less interaction), longer commutes (family time reduced), and air pollution(health).
A few recent car ads suggest, convey a message; it’s okay to live in your car, not just for transportation. It’s absurd but not too far from the truth with peeople driving 2-4 hours roundtrip to work, errands and family appointment.
I concur with LBG below. I just returned from Aruba too. Gas there was less than $5.00 a US gallon… Be careful with your figures…
I find myself completely unsympathetic to those who complain about gas prices in the US. We’ve done this to ourselves – ridiculous SUVs, none to little investment in public transportation, average trip distances under 5 miles. We’ve no one to blame but ourselves. Rising gas prices is likely the only way to get us to reconsider our overly expensive lifestyles. And yes, it will hurt – get over it.
Your story is incorrect. I just got back from Aruba last week and gas was about $5.00 a gallon. I got around 7.5 liters of gas for $10.00.
There will be a consumer backlash as more upstanding middle class citizens begin to sample success via white collar crime. We are tired of being pissed on by politicians who have forgotten voter needs and concerns. Its obvious to anyone with half a brain that obeying the law offers no reward, but instead victimage by the rich and the powerful.
I think we should import gas from Venezuela at .12 cents a gallon and circumvent the Exxon’s of the world who are currently reporting record profits. It’s unconscionable that our government has afforded oil companies record profits without imposing stiff windfall penalties.
All I know is since coming to this country from the UK I’ve been appalled at how bad the gas mileage is – even in cars that are advertised as being efficient.
It is difficult to comprehend how the same car manufacturers can produce regular gasoline powered vehicles with nearly double the miles per gallon efficiency in Europe.
Then you have diesel powered vehicles, which run at nearly 4 times the efficiency of your average US sedan.
A 2.0 – 2.5 litre sedan (mid size to full size car) has not done less than 45 miles to the gallon since the 80s. A turbo diesel in the same range can do perhaps close to 70-80 miles to the gallon highway.
You want better efficiency? Perhaps you should ask companies like Ford, Toyota, Nissan, Honda et what is stopping them from producing the same gasoline efficiency in vehicles manufactured in the US.
I think that Americans are feeling more the rise in price of fuel because most of us are dependent on our own transportation. Public transportation is non-existent in some places. In Orlando and Miami, for example, getting around on public transit can be very difficult. Buses don’t even reach most areas, there’s no subway, and walking is out of the question, due to everything being so far. It is a problem in cities that are very spread apart. I depend on my car to get to work and back, and to run errands. I had the oportunity to go to Europe last year, and I got around perfectly without a car. I loved it. Most of the cities in the U.S. don’t have a far reaching transportation system and that’s big problem.
Much of the cost to the motorist is in the very owning of an automobile, not in its actual operation. These are mostly up-front fixed costs such as insurance and depreciation as opposed to per-mile costs such as fuel and maintenance. The fixed costs justify driving more whereas operative costs motivate one to drive less. While depreciation is pretty much a fixed quantity, insurance could be strictly charged on a per mile basis – perhaps through the use of a sealed odometer. Anything that would shift fixed costs to operational costs would help compensate for the increased cost of fuel.
All this being said, one has to realize that this is clearly not ‘the American way.:-)
why isn’t the u.s. charging the arab countries more for our products and food like they charge us for gas?
I was 16 years old and had just started driving when we had the first gas shortage. It was the first time anyone realized that oil supplies are finite and some day they will run out. So the present shock doesn’t surprise me.
We need to realize that the era of cheap gas is over. It is never coming back. So everyone should stop whining and begin to change their habits. Smaller cars, smaller homes to heat and cool. Invest in rail transportation. Live in villages and cites where you can walk to the store for that gallon of milk.
Our elected leaders knew this was coming and have placed us in this mess. It is going to take years to develop alternative energy and the infrastructure to live more energy efficiently. Let’s get started.
To Jake in Houston,
Europe like the rest of the world uses the metric system for it’s weights and measures. Gas is sold in litres(liter in the US) there as it is here in Canada and I can tell you we GET chareged for every litre we pump into our tanks. Right now where I live we pay $1.349 a litre which is cheap by european standards. If you think that you are hard done by come to Canada for a visit.
To the people who mention how small Europe is by US standards fair enough. But Canada has large distances between major cities and most of our provinces are larger than most states. Across Canada gas prices average from 1.20 to 1.35 a litre. Driving here is hard on the bank account as well
I strongly support a gas tax. The writing has been on the wall for decades — we will, sooner or later, run out of oil. I hold ourselves responsible: we refuse to think beyond tomorrow, and do not support politicians with vision and strong leadership that will address our dependence on fossil fuels head-on.
Though a gas tax may be a form of social engineering (and an intelligent one), it is important to remember that the building of freeways to remote suburbs is also a form of social engineering that encourages long commutes and real-estate booms at the expense of the tax-payer.
Tot ell you the truth, I hope the gas prices keep rising. As spoiled as us Americans are, these rising gas prices will force our government to stop focusing on the silly things – such as cheating in SPORTS – to more serious things, such as improving the quality of Ford and GM’s struggling autos. Maybe we can take a page from Europe’s book and, instead of shunning and discouraging socialism, invest in a competent public transportation system, such as the railways in Western Europe.
It also doesn’t help that people find it necessary to drive Hummers around when they live in suburbia.
My family from California now live in Netherlands and the cost of gas is very expensive. We went to Normandy and a fill up was $185….yes dollars but $185. Hybrid waiting list are 6 months, so I wait.
Gas may be a lot higher in Europe, but most have FREE or nearly free health care for everyone. I’m over 70 and I could afford the gas if I didn’t have to pay over $20,000 per year for health care and health insurance.
I completely agree with Tim from Houston, TX. American needs to wake up and reflect on our priorities and sense of entitlement. No one is putting guns to our heads and forcing us to drive gas guzzlers, which most aren’t truly used for function. We sit here and stuff our faces to obesity and spend 400 million over a couple of days on Grand Theft Auto and yet don’t seem to do anything to change our poor health care system, the fact that our kids our continually underperforming in schools in one of the richest countries in the world, and the current lack of higher paying jobs. It sickens me that people continually cry about paying 4.00 per gallon for gas when there are far worse things that need attention. We live in a nation that allows for complete freedom of choice to do almost anything all we can do is complain.
Some of those comments are really funny. Most people are still in denial and full of excuses why gas should/must be cheap in the US. Go ahead, blame the speculators, the oil companies, the terrorists, George Bush/government, Hugo Chavez or the Easter Bunny, but never ever blame yourself. Fact is that oil is an increasingly scarce resource. In the future prices will increase while availability will decrease. We can either implement radical changes and be prepared for the future or we can choose to be in a state of denial a bit longer while playing the blame game. I think we’ll opt for the latter, too bad for us.
How would the Europeans react if they had 1 hour commutes with no public transportation? I think that the socialist governments would not tax fuel as they do or they would face revolution.
So, how much of the gasoline consumption in the US comes from the “long distance” driving some have discussed as opposed to commuting to and from work every day? My instinct suggests that the fuel burned in commuting dwarfs the long distance stuff, making the “but our country is larger” arguments seem somewhat moot.
I doubt the fault lies in our geography.
WRT market forces vs social engineering, market forces need complete information to make “correct” decisions. Does the market have information about the future “costs” of burning so much gasoline?
For a view of more or less unfettered capitalism today I suspect we need look no further than China, as strange as that may seem.
What about subsidized US bio-diesel being shipped to England causing prices for diesel to skyrocket here because of a supposed lack of refining capability and being sold over there for a huge profit? Sounds like the US oil companies double dipping for profit.
To the guy who could see this coming. Okay, you own a Prius or whatever. Made in Japan. You may spend less money for gas, albeit it still goes to some third world gas producer. Many grocery stores have self check out lanes. Why? Cause they don’t have to pay anyone to bag groceries or provide them benefits. Europe may have higher gas prices, however when we rebuilt most of it after World War II it was done with mass transportation in mind. You don’t really need to use a car that much in Europe. Gas has always been cheap in America, until now. Demand from everywhere esspecially China has kept the supply and demand high, and thus the price high. The chinese and others need that oil to keep building and making things so they can send back to us to purchase. It’s sort of like the reason the ole buggywhip company went out of business despite making the best buggywhip out there. Henry Ford started making the automobile and there was no need for the buggywhip. Foresight and investment towards the future is long overdue. Reliance on the Arab States to provide us with cheap fuel is over.
It only takes $1 of cash to buy $50 of gas on the oil futures market.
This way large funds can leverage their purchases and hold the oil off the market until the price goes up.
How is this different from Enron?
The fastest way to correct the price of oil is to make speculators pay cash for everything they buy. Oh, and the oil futures market was deregulated in 2002. Nobodys watching this market.
Again, can you say Enron?
Economically, profit is based on 3 factors. Cheap resources (energy), cheap labor or advanced technology. In America we like to see our work force get paid well. To do this you need better technology, (America holds a small advantage) and cheap resources. In the past it has been steel, copper, timber as well as oil.
When the oil futures market was created it took away this economic advantage. Now we compete with the world for the same oil we explored and developed.
Of the three, Mr. Obama makes the most sense – leave the gas tax alone. He did the math and it will not help the average consumer significantly by eliminating the tax. Eliminating it could even do more harm than good. Raising the tax and using the new money to say help get us off this oil addiction, although a good idea, would hurt the working poor. Besides, Big Oil would not allow that – our politicians have sold their souls to them.
Same things were said back in the 70’s when we had our first wakeup call. We have wasted over 35 years doing nothing to really address the problem. I blame Big Oil and our spineless (and soul-less) government’s lack of leadership and foresight. It all comes down to economics – and Big Oil is in the drivers seat.
This article is so funny it hurts! Slapping a 4 dollar tax on gasoline would definetly curb use and also probably start another revolution! Us dumb Americans should be reprimanded for caring how much we get taxed. Only rich stay rich in Europe, cause upward mobility is limited. So they will always have large peasant base that never goes more than 40 miles away from home! Thus less gas is used! Three hots and cot and you’re counted as middle class over there! With all the money leaving America the doors of upward mobility are getting ready to slam shut here! Can you afford to send your child to college in 15 years? I won’t be, because I moved to somewhere I could afford to live and give my kids a nice childhood. And now it has taken everything left in the budget to pay for energy (electricity, propane for heat, gas for the cars). And your telling me I should have been punished by paying more taxes for that all along! And now this not just affecting what I buy at the store now, it is staring to affect my kids future. If you want to write like a smarmy European left wing elitist then move there. Don’t tell me what I should pay here, you move and pay the taxes on the gasoline over there it you think you have it too good here!
A) Who cares about the rest of the world? As with all governments, it’s all about money.
B) Get rid of our tree huggers and start drilling and refining our own and we’ll solve a big portion of the problem.
C) It’s past time to worry about our own and let the rest of the world worry about itself.
If the Greenies would stop protesting and let the U.S. have free exploration in Alaska, East Coast and West Coast, we would not be suffering in the U.S.; however, the lack of Petroleum Conversion Plants are hurting the U.S. also. Most states do not want Petrochem plants in their state.
Europe has an Imperial Gallon that equals 5 quarts; therefore they get an extra U.S. Gallon of gas free for every 4 Imperial gallons they pump.
Gas prices are high now and will continue to be high as long as Democrats (Socialists) continue to have control of Congress pushing their anti-big oil propaganda and profitting from their alternative fuel programs. It is only profitable to push alternative fuel solutions if the price of fuel is high enough to warrant the need for alternatives in the first place along with their 30 year hold on increasing domestic oil supply. Criminal investigations will be called for and Envionmentalists and their Congessmen will be prosecuted for violations of the Constitution. Hit them where it hurts. A Politician’s Legacy!
Attitude is a reflection of LEADERSHIP.
The attitude in the US is weakened due to a lack of LEADERSHIP. This trend started in the late sixties.
This nation used to set the standard and the rest of the world envied our success; however, today our so called “LEADERS” just sit on their hands while trying to imply that we are fortunate because we don’t pay high taxes on gasoline like the rest of the nations.
Lets start comparing what our government spends relative to the rest of these nations and also look at what we spend it on. While we are at it, maybe we should look at outsourcing of our jobs and the value associated with the jobs government “claims” to have created.
A narrow view of a problem (only taxes on gasoline) is a narrow minded approach, suitable only for political purposes.
Most of the posts here are screaming the price of gas is too high and it is everyone’s fault but their own. People, if you could not see this coming, get off your high horse and kick your own butt. Three years ago I bought my Prius seeing this coming. I get 45 mpg. When I travel 80 miles to my vacaton home, I get 52 mpg. Just 3 1/3 gallons. At $4/gallon the trip is less than $14, less than going to see a movie and getting a small soda. I’ve put solar panels on my roof and now have free electricity for life. I shop at a grocery store where I have to bag my own groceries, but those groceries only cost me $40 for an entire week and include many fresh vegetables and fruits. Take action instead of complaining! That is a far, far better thing to do than to say “I am an American” and we deserve cheap gas prices” so you can run your gas guzzling SUVs.
This country will not consume less gas/oil unless forced to do so by higher prices or less availability. Allow the prices to rise gradually now, or be prepared to face an even more devastating increase and shortage in the future…
Whatever the current price at the pump, it still fails to cover the current military and future environmental costs of the product. These costs are currently being paid for by our general fund (income tax), as well as by future generations. I suggest reconfiguring our tax system so that the people who use the product actually pay for it.
That is raise the carbon/gas tax and simultaneously lower income taxes. This can easily be done in a way that doesn’t change the net progressivity of the tax system nor the net revenue obtained by the government.
The US is a big place. The problem with comparative stories like these is that you are comparing apples to oranges. So what if gas costs $75 a gallon in the UK I can drive across the country in less time than it takes me to drive from Boston to D.C. Also these teeny weeny countries cited in the article have good public transportation infrastructure or do not need it (Aruba).
The point is we are a nation that depends on our cars. The challenge is not cheaper gas (although I think that is eminently doable) but how to make us less dependent on gas.
It’s a about time the U.S. woke up–gasoline has been EXTREMELY cheap here compared to other countries for YEARS!! That has lead to U.S. consumers buying gas guzzler cars and huge houses miles out in the burbs with no thought to the consequences. Basically it has lead to extreme waste!!
I have always been in favor of higher taxes on gasoline in order to fund public transportation, alternative sources of energy, road and bridge infrastructure and conservation in general.
In 1996 I sold my minivan and purchased a Honda Civic, which I still have and will probably keep for a few more years. I fill the tank up a couple times a month at the most, and that certainly isn’t a hardship for me. And I don’t make a huge income, well below six figures.
In the fall of 2000 I sold my house in the burbs and moved to an older brick house (1920’s) in the city, 1 mile from work instead of 10. I walk to work in nice weather.
I basically DON’T feel the consequences of high gas prices because of my choices made years ago.
It’s time for CONSERVATION in this country and changing our wasteful ways. We have to develop our inner cities and leave the burbs!! We have to force the car companies to make vehicles that are ECONOMICAL to buy and drive!!
I sure wouldn’t mind paying 5x more per gallon if it meant free health care and education for the US citizens…yet two other items where the price of it in this country are also sky-rocketing!
My opinion has to parts. First, the government has been bought by “BIG OIL” and that is why gas is so high at the moment. We need a change in Washington which I feel will happen in November. Secondly, the speculators whould be made to put up more of their own money up front when buying oil\gas futures. They are the main group that is running the price up and our government does nothing about it because they are a bunch of greedy rich people that does nothing for the common person like me. Keep this in mind when the election comes around. Change is good!!
I understand it hurts our pocket books to pay more for gas, but I still think we have it relatively easy. I would be fine with the government raising taxes on gas as long as they use that money to fix America’s infrastructure and expand, which in turn would create more jobs and alleviate some of the problems we have right now.
Who cares what the price of gas is in other countries? I would think that it’s quite obvious that the demographics of those countries is dissimilar to the U.S. The very size and geograhy of this country along with the general make-up of our way of life; the way we work, where we work relative to where we reside,etc. makes our society much more dependant on petroleum products than many other nations. It’s like trying to compare apples and oranges.
You have got to be joking! Many out there are at the mercy of their income. Others Like myself are alreadying taking note of the cost of fuel, food, and shipping. To maintain our standard of living we will adjust what we charge for our services and help to contribute to the upward spirial of prices. You might think that I am greedy but after expenses and taxes I can guarantee that almost every autoworker out there earns more than I do.
I enjoy what I do for a living but I must pass my costs on to my customers. Transportation is one of my big expenses. To account for it I have to raise my rates more than whe measely number cALLED THE CONSUMER PRICE INDEX.
Gas it too cheap. That is the only reason someone would by a V8 when the speed limit is 65 miles an hour.
Gas may be higher in other countries, but their governments allow vehicles that get 80 mpg. Our government took the diesel Smart Fortwo that got up to 80 mpg and made it a gas only that you can barely squeeze 40 mpg out of and then allowed it to be sold in the US. Whats the point, its a tiny car that doest get any better mileage than what we had on the market already.
Not a very complete story and very misleading. You have to take the entire land mass of Europe in total ( 10,400,000 sq. km covering 44 countries) to compare to the size of the USA (9,600,000 sq. km). The United Kingdom (244,820 sq. km) is a fraction of the size of the USA. The greater travel distances between major populations centers alone makes what this story is trying to show an apples to oranges comparison. Using nations that have a very compact land mass to compare to the situation in the USA is a poor way to try and prove a point. To drive from Hamburg, GM to Paris FR is 744 km ,but to drive from Detroit, MI to Iron Mountain, Mi is 782 km and you never left the state.
Let’s remember that in the places with higher gas prices there is less need to drive. For example the UK is about the size of the state of Oregon. Very few in Sierra Leone have cars.
Oil company profits need intense scrutiny. The profit is the difference between what the price of gas *is* and what it *could be*.
What can we do? Tell our 401K providers we want a green fund that in not invested in big oil.
In Europe the price of gas provides healthcare and other services for the people. In the US the price of gas provides wealth for a few people at the expense of the many.
Gas prices stretching to $4.00 a gallon is absolutely ridiculous. I’m getting tired of hearing the excuses from our government as to why gas prices continue to rise. I also could care less what other countries are paying. If you all remember correctly, a few years ago our prices were compared to Europe and we never thought that we would be paying those ridiculous $3.oo per gallon gas. Now they are talking $10.00 a gallon just to prepare us for the next huge jump. The only way for the prices to go down is for our economy to collapse out of control or for we as Americans to say enough BS and start taking back our country.
Gas is still relatively cheap here compared to the rest of the world, but that doesn’t mean the government should be taxing or subsidizing anything. The government should stay out of the markets – its actions tend only to foul up the economy.
Also, the article failed to add in state gas taxes which are generally higher than federal gas taxes.
I guess cheap is relative. Without the huge US military presense in the gulf and the stability it provides, there would be constant supply disruptions. That cost is largy bourne(sp) by the American tax payer to the benefit of the world. No military presense no oil.
I support ***NO*** additional taxes in this country until the government proves to me that they can use the revenue responsibly. Over the years, social security, medicare, and countless other programs have been raided and otherwise abused by our government. If they were to institute a $3-4/gallon gasoline tax and use the proceeds to build light rail to connect cities with rural or otherwise distant areas, provide a true single-payor healthcare system, and make other social investments to increase job availability, I’d be all for it. But as things are, I’m sure this money would be squandered. I hope people begin demanding changes in government accountability so that someday, our government create better infrastructure here so we can cut our energy usage
Until then, people need to get used to it. There are over six billion people on the Earth, and we’re only about 0.3 billion of them in this countr. The oter 5.7+ billion would like to have food on their tables, a solid roof over their heads, careers, and energy to power it all. The United States isn’t the only country on the face of the planet, and we ARE NOT entitled to the binge lifestyles many people seem to enjoy. The sooner we accept that, the better.
Both the state and federal gas tax are collected by driving on major highways & local streets. The federal gas tax has been capped for years and my state gas tax had just recently been capped. Elminating the gas tax does not eliminate potholes and maintenance requirements. Therefore, my state has resorted to borrowing which is funded by my income tax and they cut gas tax aid to my city which means my property taxe on my home has been tapped into.
What does earning a paycheck and owning a home have to do with subsidizing highway & street useage? Some would say to provide emergency services. Yet the wear and tear on my street is not caused by emergency services. It is caused by excessive automobile and truck traffic.
To assume that a gas tax cut results in more money in my pocket is extremely false. To truly cut the gas tax, shut down the interstates. That would then shut down the economy. Therefore, the gas tax should be seen as an investment to provide jobs.
Since the majority of my driving is commuting, I started using a vanpool with 10 riders years ago. It requires sacrifice by having a rigid work schedule. Yet when the price of gas goes up $2, my increase is only 20 cents. I bought a home that is only blocks away from a grocery store, post office, bank, restaurants, and schools. My car rarely gets used.
The phrase gas conservation does contain the word “conservative”. Yet, our conservative leaders are encouraging liberal use of gasoline. Instead of talking about being conservative, let’s practice it.
High gas prices are something that have been coming for a while, but this current prices are far beyond what they should be. With that said, the current drive by oil companies to make every dime they can is obscene and is causing a collapse in the infrastructure of the country.
Yes, gas prices are higher in countries other than the US. On the other hand, as mentioned in the article, those countries have far greater benefits than we do. I wouldn’t worry about paying 100% more for gas today than I did a couple years ago, if I wasn’t paying 80% more for my health care, 20% more for my groceries, etc.
I would have no problem paying for $8 gas for long distance travel if adequate public transportation or alternative energy sources for local transportation was readily available and affordable. I’d be happy with a solar or electric car (recharged with wind power) if the technology wasn’t prohibitively expensive. I’d also be happy with wind generated electricity and solar power if I could afford it. I don’t think we have put as much effort into these options because petroleum products have been cheap, and the big producers have effectively lobbied to keep the competition small.
It’s ridiculous to see the guy working in Mcdonald’s or the Janitor driving Chevy Suburban!! This lifestyle correction should have happened long ago. Americans(I am one but am highly educated!) need their butts kicked bigtime. Wasting a lifetime of Gas justfor a whim needs to be punished. And if the whole economy stumbles cause of it, so be it, The next generation of Americans will be watchful not wasteful. I hope the samething happens with Food. The amount of Food America wastes everyday can feed another billion people. Gonna pay for theis decadence.
I think we should develop our internal oil production and refining capacity (see Norway), and at the same time build more nuclear reactors (see France). In Europe, public transportation was developed over more than a hundred years, by individual countries, not as a regional system mandated by the European Union. The sheer size of the US territory is another factor to take into account. And lastly, why give more money to the Congress to spend when it depleted the Social Security fund and it attaches pork to almost every bill it passes?
Comparing our gas prices to the rest of the world is an unrealistic comparison. As you mentioned, our public transportation is much less developed and much of their gas taxes go to social programs. But more important to the discussion is the size of the U.S. relative to those countries. Germany is about the size of Michigan – it’s a hell of alot easier to develop public transportation to cover a country of that size than it would be to cover the U.S. We also have to haul goods across a far larger territory than the European countries. For example, produce from California gets trucked to Pennsylvania. The “breadbasket” of America that supplies grain, corn and soybeans to us and the rest of the world is not located next to a port – it takes trucks and trains to get the food to population centers and to ports for export. In Europe, much of the population shops at local markets for locally grown products and overall trucking mileage is much more limited. Unless we want to pay $15.00 for a gallon of milk and $10.00 for a head of lettuce, we need gas prices to stay low relative to the rest of the world.
This article is a bunch of hooey, a waste of time to read. While yes, the percentage jump of oil prices is sharper in the US, money out of your pocket is still money out of your pocket.
Most of the European nations are the size of US States so travel would be different.
It was about time. yes, gas prices must rise, and yes, we must get used to it. the sense of entitlement to cheap gas is revolting. The unsustainable lifestyle built on this entitlement is even more revolting. The more people and the government try to postpone the inevitable, the more painful will be the crash. We must change our behavior NOW.
Do we really want the government to engage in social engineering? Do we really believe that Bush or Hillary is better at making decisions about our lives than we are ourselves. The market (with a true price for negative externalities factored in as a tax) is a more efficient way of letting us make decisions than having Bush or Hillary impose an arbitrarily high gas tax that forces society to live according to their vision. How come freedom and capitalism are viewed so negatively these days?
I don’t know that a higher tax will spur people to do anything that these high prices will spur them to do, which is drive fuel efficient cars, take public transportation, and live closer to where they work. We as Americans have gone from people who worked hard to achieve the “American Dream” into a country of whining babies that feel entitled to $2 a gallon gas, SUVS, and huge homes. Waltzing into this lifestyle without earning it (and having the financial sense to plan for increased expenses) is a bad way to live, and now we’re seeing why. Too many people live lifestyles they have NO business living, and now they’re seeing why.
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This country has got to grow up and shape up. A big part of that will involve filling up – much less than we currently do. There is absolutely NO EXCUSE for the greatest nation on earth not having an affordably priced, high-end rail system that people make use of for commuting AND leisure travel. I’m tired of the arguments related to our geographic size. If we can build a road network to cover our country’s territory a zillion times over then we CAN build a rail network. QUALITY Light rail is safer, cleaner, faster, more efficient, FAR more relaxing, forces people to get off their butts, builds community and creates huge numbers of jobs.
It’s time for sensible, dramatic change in our transportation strategy. It is time for us to build a real rail network in this country, one city at a time.